Higher than normal level of toxins are slashing the income of some farmers in Ohio.
According to representatives of the Ohio State University Extension Service, vomitoxin levels are the worst in seven to ten years in some areas of the state, especially areas where it's cooler and wet.
A wet May in particular produced conditions for the fungus to thrive.
The high levels of toxins limit the use of wheat for people, and also in livestock, especially pigs, which could cause a lot of problems in them.
Saturday, July 3, 2010
Friday, July 2, 2010
Wheat Prices Could Keep Declining, Says Commonwealth Bank of Australia
After the largest gain in over four months, wheat futures in Chicago fell again, and according to the Commonwealth Bank of Australia, wheat prices could continue falling.
“The global economic recovery is looking increasingly unstable,” Commonwealth Bank of Australia said in a note to clients today. “U.S. harvest pressure also remains a risk” and wheat prices could keep declining.
Wheat farmers in the U.S. planted about 13.907 million acres of spring wheat, an increase of 4.8 percent from 2009, according to the U.S. Department of Agriculture.
Including all wheat varieties, total bushels of wheat inventory as of June first stood at 973 million as of June 1. That's up from 657 million last year.
We've been wondering out loud at Wheat Wise for some time why farmers continue to do this. Why continue to plant wheat under these conditions? Why not change to crops with better potential returns and margins? How hard is that to understand?
Wheat farmers must understand that an enormous amount of wheat is being planted in countries that did very little wheat sowing in the past, and add to that the increased amount in the U.S. and there's not going to be a good price any time in the near future.
“The global economic recovery is looking increasingly unstable,” Commonwealth Bank of Australia said in a note to clients today. “U.S. harvest pressure also remains a risk” and wheat prices could keep declining.
Wheat farmers in the U.S. planted about 13.907 million acres of spring wheat, an increase of 4.8 percent from 2009, according to the U.S. Department of Agriculture.
Including all wheat varieties, total bushels of wheat inventory as of June first stood at 973 million as of June 1. That's up from 657 million last year.
We've been wondering out loud at Wheat Wise for some time why farmers continue to do this. Why continue to plant wheat under these conditions? Why not change to crops with better potential returns and margins? How hard is that to understand?
Wheat farmers must understand that an enormous amount of wheat is being planted in countries that did very little wheat sowing in the past, and add to that the increased amount in the U.S. and there's not going to be a good price any time in the near future.
Thursday, July 1, 2010
South Dakota Winter, Spring Wheat Plantings Down
Winter wheat acreage planted in fall 2009 in South Dakota was down 26 percent from the year before, coming to a total of 1.25 million acres, a major decline from the 1.70 million acres in 2008.
Of those acres expected to be for harvest, as of conditions on June 1, 1.18 million should be harvested, a decrease of 350,000 last year. That's 23 percent down from the 1.53 million harvested the year before.
Spring wheat plants came in at 1.4 million acres, dropping 7 percent, or 100,000 acres from 2009. Of those, 1.37 million acres were meant for harvest, also down 7 percent.
Plantings of durum wheat stood at 10,000 acres, and increase of 1,000 over last year, with about 9,000 acres of that to be harvested for grain this year.
Of those acres expected to be for harvest, as of conditions on June 1, 1.18 million should be harvested, a decrease of 350,000 last year. That's 23 percent down from the 1.53 million harvested the year before.
Spring wheat plants came in at 1.4 million acres, dropping 7 percent, or 100,000 acres from 2009. Of those, 1.37 million acres were meant for harvest, also down 7 percent.
Plantings of durum wheat stood at 10,000 acres, and increase of 1,000 over last year, with about 9,000 acres of that to be harvested for grain this year.
Friday, June 11, 2010
Kansas Wheat Harvest Slows on Rain
Rain in Kansas has slowed down the wheat harvest, as just after it got started things had to be temporarily shut down.
Estimates are farmers will have to wait until the weekend before resuming harvest, which was very spotty across the state.
The largest amount of wheat harvest I heard of was in the Kiowa area, which was able to complete 232,000 bushels last weekend before the rains came.
About 12,000 bushels were completed near Arkansas City before several inches of rain shut that down as well.
Estimates are farmers will have to wait until the weekend before resuming harvest, which was very spotty across the state.
The largest amount of wheat harvest I heard of was in the Kiowa area, which was able to complete 232,000 bushels last weekend before the rains came.
About 12,000 bushels were completed near Arkansas City before several inches of rain shut that down as well.
USDA Confirms Too Much Wheat
The wheat ending stocks are projected to be at 991 million bushels, according to the latest USDA figures, down a little from May, but irrelevant because of the enormous supply.
Even with the news out of Canada that wheat production is lower because of less acreage planted than originally thought, it's not going to do much to move prices at all.
And there is so much wheat the wet weather keeping farmers from planting their fields won't do anything either.
I talked about this last year, and it continues to puzzle me why farmers don't move out of their wheat planting and into a more profitable crop.
Add to this the increasing number of wheat farmers and production around the world and there is little reason to pursue wheat at this time.
Even with the news out of Canada that wheat production is lower because of less acreage planted than originally thought, it's not going to do much to move prices at all.
And there is so much wheat the wet weather keeping farmers from planting their fields won't do anything either.
I talked about this last year, and it continues to puzzle me why farmers don't move out of their wheat planting and into a more profitable crop.
Add to this the increasing number of wheat farmers and production around the world and there is little reason to pursue wheat at this time.
Tuesday, June 8, 2010
Wheat Woes Continue, Plunge to Three-Year Low
Good weather has resulted in a strong wheat crop, and consequently wheat futures plunged to a 3-year low as harvest in the southern U.S. Great Plains States begins.
Precipitation was the major factor in the bumper yields, as there was four times as much rain in the last month than normal, according to National Weather Service data.
Wheat futures for July delivery fell 3.5 cents, 0.8 percent, to $4.3225 a bushel on the Chicago Board of Trade, after reaching $4.31 a bushel, the lowest price for a most-active contract since April 3, 2007.
With the growing number of wheat farmers around the world and bumper wheat crops, there continues to be little reason prices will increase going forward, and makes you wander why farmers continue to plant the grain, other than government subsidies.
Precipitation was the major factor in the bumper yields, as there was four times as much rain in the last month than normal, according to National Weather Service data.
Wheat futures for July delivery fell 3.5 cents, 0.8 percent, to $4.3225 a bushel on the Chicago Board of Trade, after reaching $4.31 a bushel, the lowest price for a most-active contract since April 3, 2007.
With the growing number of wheat farmers around the world and bumper wheat crops, there continues to be little reason prices will increase going forward, and makes you wander why farmers continue to plant the grain, other than government subsidies.
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