Farmers sold soybeans aggressively last fall, increasing commercial ownership of soybeans in storage to 73.6%, up from 66.3% the previous year, according to CoBank data. This shift followed improved prices after the U.S.–China trade truce, prompting reduced use of delayed pricing and basis contracts for soybeans.
In contrast, farmers held back on pricing corn and wheat, increasing their use of delayed pricing and basis contracts. Commercial ownership of corn and wheat in storage declined slightly to 73% and 72%, respectively, as farmers waited for potential price recoveries.
Off-farm grain storage reached record levels last fall, with USDA reporting historic Dec. 1 stocks for corn, soybeans, and wheat. Soybeans and wheat saw notable increases in off-farm storage shares, while corn’s off-farm share declined slightly as farmers freed up on-farm space for a record corn harvest.
Total U.S. corn stocks hit 13.3 billion bushels, up 10% year over year, with on-farm storage rising 13.5%. Soybean stocks rose 6.1% to 3.29 billion bushels, with off-farm storage climbing nearly 10%. Wheat stocks increased 6.5% to 1.675 billion bushels, with 73.4% stored off farm.
CoBank warns that any corn and wheat price gains may trigger heavier selling pressure, as more bushels await pricing, especially with increased on-farm corn storage.
