News

USDA raises corn, soybean, wheat prices at Ag Outlook, expects acreage shifts

The USDA has raised prices for corn, soybeans, and wheat at its Ag Outlook Forum, partly because of acreage shifts.

Chief economist Justin Benavidez reduced total planted acreage estimates by about 1.5 million acres for 2026.

“The big story here, the swap between corn and bean acres, leaving us with about 94 million acres of corn, 85 million acres of beans, 45 million acres of wheat on the year, 9.2 million acres of cotton, and 2.5 million acres of rice,” he explains.

Benavidez says government payments are expected to make up a quarter of net farm cash income this year and were factored into increases.

“Higher reference prices, more favorable triggers for the ARC program, and a variety of improvements to the crop insurance sector,” he highlights. “Overall, we do expect an increase in net cash farm income for all of the commodities listed, with a mix of improved prices as well as some additional support out of a more robust safety net.”

Corn production is still projected to be the second-largest on record, despite a slightly lower yield estimate. The agency expects corn exports to drop slightly because of competition from South America and modest global demand growth.

USDA says stronger soybean profitability is likely compared to other crops because of improved export demand, and expected crop rotations across the Corn Belt and the Delta should cause an increase in acreage. Yield numbers were left unchanged.

Farm gate prices were all increased a dime to total $4.20 a bushel for corn, $10.30 for soybeans, and $5 a bushel for wheat in the February outlook.

• lET THE GOOD TIMES ROLL!

  Reply

• THANKS, KING TRUMPP

  Reply