U.S. planting of eight major crops will decline 0.7 percent in 2014 to the fewest acres since 2010, and prices of corn, soybeans and wheat cotton will fall for the second straight year, the government said.
Farmers will sow 253.8 million acres of corn, soybeans, wheat, cotton, rice, barley, sorghum and oats, down from 253.8 million in 2013, Joe Glauber, the chief economist at the U.S. Department of Agriculture, said today in a presentation at the agency’s annual outlook conference in Arlington, Virginia. Global production growth will exceed demand, pushing prices lower, he said.
The average cash corn price may drop 13 percent to $3.90 in the marketing year that begins Sept. 1, while soybeans may tumble 24 percent to $9.65 a bushel. Wheat in the 12 months that begin June 1 will slump 22 percent to $5.30 a bushel, and cotton may fall 11 percent to 68 cents a pound in the marketing year that begins Aug. 1.