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November 10, 2020 | FBN Insights | Kevin McNew

Corn and Bean Harvest Wrapping Up

Corn harvest pushed ahead to 91% complete, remains above average of 80%

Corn and Bean Harvest Wrapping Up

  • Corn harvest pushed ahead to 91% complete from 82% last week and remains above the average of 80%. 
  • Soybeans advanced to 92% harvested, up from 87% last week, and just ahead of the average pace of 90%. 
  • Winter wheat planting was 93% complete as expected compared to 89% last week, and 91% average.
  • 79% of the winter wheat crop has emerged versus 71% last week, which is in line with the 78% average for the week. 
  • The winter wheat crop rating ticked up to 45% good to excellent from 43% last week, and compared to 54% last year.

FBN’s Take On What It Means: Corn and bean harvest are nearly complete as some areas in Ohio and Indiana were able to catch up this past week. The upcoming week should see dry and warm conditions in the eastern Midwest, but scattered rains may slow the final segment of harvest in the North. It may become more difficult for end users to originate grain as the unsold portion of the crops finds its way into bins, which should continue to be supportive for prices. 

Brazil Crop Update

  • Conab increased its soybean production forecast to a new record of 135 million tonnes, up from last month's 133.7 million. 
  • USDA will update its projection of 133 million tonnes in today’s WASDE report.
  • Soybean exports are projected at 85 million tonnes, up from 82.70 million in 2019/20.
  • The Brazilian crop agency’s corn production forecast ticked slightly lower to 104.9 million tonnes from 105.2 million last month.
  • Projected corn exports were left unchanged at 35 million tonnes, above the 34.5 million last year.
  • The corn crop projection is below the last USDA forecast of 110 million tonnes.
  • Brazilian bean planting has pushed above the average of 53% and stands at 56% complete nationwide according to AgRural.
  • IMEA reported 64% of the 2020/21 bean crop in Mato Grosso is already sold,  up from 44% last year; 10% of the 2021/22 crop is also sold.

FBN’s Take On What It Means: Conab’s increase for the bean crop was a little surprising as the market has noted some late planting and irregular rainfall. The agency left the yield projection unchanged, but also projected an increase in planted area of nearly 500,000 hectares (1.25 million acres). Weather going forward will be watched closely, and a risk premium will be maintained due to the ongoing La Niña weather pattern.

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