News

Price forecasts raised on many commodities

USDA has raised price forecasts for many commodities this season. Last week, USDA Outlook Board chairman Gary Bange said, “With these commodity prices holding out a little bit stronger for a little bit longer than we thought, I think it’s fairly good news.”

USDA Chief Economist Joe Glauber says there’s much needed relief for the dairy markets where prices had gone flat, “We’ve seen some improvement in product prices over the past few weeks. Dairy prices were SO low and now we’re calling for a slight increase in the overall all-milkprice this year.”

Glauber says things aren’t quite as negative for dairy, “We’re forecasting lower net removals, that is, fewer pounds of nonfat dry milk going into CCC. And so that – that is a positive, I think.”

In this year ofrecession, he says agriculture is holding its own, “In far better shape that a lot of other sectors in the economy, certainly,” Glauber says.

USDA on Thursday increased its farm price forecasts for major commodities.