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USDA projects $3.30 corn

DANIEL LOOKER 02/13/2014 @ 11:04am Business Editor

USDA's long term projections through 2023, released Thursday, show national average U.S. corn prices falling to $3.30 a bushel in the 2015-16 marketing year, before beginning a slow rebound that finishes out the decade at $4.20 a bushel.

The projection for the current 2013-14 marketing year for last year's crop is less bearish, with the farm price for corn estimated at $4.50 a bushel.

"Market responses to high crop prices in recent years, both in the United States and in other countries, are projected to lower prices over the next couple of years," says the report released by USDA's Office of the Chief Economist and compiled by the Interagency Agricultural Projections Committee. "Nonetheless, U.S. prices for corn, wheat, and soybeans are projected to remain historically high, above pre-2007 levels. The continuing influence of several long-term factors -- including global growth in population and per capita income, a low-valued U.S. dollar, increasing costs for crude petroleum, and rising biofuel production--underlies these price projections."

USDA projects farm-level soybean prices at $12.15 a bushel this year, falling to $8.85 a bushel in the 2015-16 marketing year and rising to $10.15 a bushel at the end of the decade (2023-24).

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mark guildenzoph 02/13/2014 @ 11:32am That might be the most ridiculous prediction I've ever heard. With rent prices sky rocketing, fertilizer and seed cost not far behind, and fuel as well as operating costs overwhelming. Good luck trying to find anybody willing to grow them nobody works for free . Bad enough there is middle class anymore now your pushing for the assurance that there never will be.

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Re: Re: 02/13/2014 @ 2:44pm Its because these idiots at the usda and the cbot want farmers to fail. They have no idea about farming they just sit behind a desk.

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