Even though soybean prices have risen more than corn, which gained 24.7% in the same 11 months, farmers are increasingly opting for the yellow grain in the weeks before planting, reports Reuters.
Their reasoning includes the importance of crop rotations to maintain long-term soil health, strong export demand and an improved outlook for corn-based biofuel.
Analysts expect farmers to plant record combined soy and corn acreage in a closely watched crop cycle as prices for their top two cash crops are the highest in years. Some have increased their corn acreage estimates and cut forecasts for soybean acres ahead of the government’s first planting forecast based on farmer surveys.
A Reuters poll forecasts the Wednesday report would show that farmers planned to seed 93.208 million acres (37.72 million hectares) of corn and 89.996 million acres (36.42 million hectares) of soybeans.