Corn and soybean crops in the U.S., the world's largest grower, may be smaller than the government predicted after planting delays and an unusual dry spell, said Jerry Gidel at North American Risk Management Services Inc.
Parts of the Midwest, the main growing region, received
less than 50 percent of normal rainfall in the past 30 days, according to the High Plains Regional Climate Center in Lincoln, Nebraska. Corn plants that farmers will begin harvesting next month are growing at about half the five-year average, and the rate of pod-filling by soybeans is 17 percentage points below normal, U.S. Department of Agriculture data show.
Corn prices plunged 43 percent in the past year partly because the USDA predicted the second-largest crop ever, and soybeans are down 23 percent on the government's forecast for record production of the oilseed. Analysts, traders, farmers and processors who start the annual seven-state Professional Farmers of America Midwest Crop Tour today probably
will find fields are likely to produce less than expected, Gidel said.