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An early prevent plant picture

A crop insurance specialist says prevent plant could be an important part of U.S. crop production this year.

Rich Morrison is with NAU Country Insurance.

“If we stay wet like the forecast is showing in the next week to 10 days, we could end up losing some corn and cotton acres,” he says. “Corn acres are lost primarily in the mid-South and the Ohio Valley. And there’s still one-third of the cotton acres left to plant in the southern United States.”

The final planting date for corn and cotton have passed in the Corn Belt. Morrison says there’s roughly 6.6 million unplanted intended corn acres.

“We’re going to need 94 to 95 million acres of corn with a good yield and if we don’t prices should have to react,” he says. “I would think you could probably put a five in front of the corn price if we lose three to four million acres.”

But he says it’s unclear what the unplanted acres will become.

“The farmer would have to make a decision whether to leave the ground idle and take the prevent plant payment or they could choose to plant soybeans, which I think will be a popular decision,” he says. “Farmers might also decide to take a partial prevent plant payment and then, turn around and plant soybeans.”

He says the grain markets will likely wait for confirmation in upcoming USDA reports before factoring in any weather issues.