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Summer heat shucking high corn profits
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[06/21/07]
By Tom Hartwell and Eric Brown
Like nearly all farmers in the Warren County area and around the nation, Bill Parker significantly increased the acreage of corn planted this year on the farm he manages.
Corn's market price has doubled in the last two years, and that made an attractive crop.
However, corn is also more vulnerable to bad weather than other crops. And with total rainfall down almost 14 inches from the annual average, Parker, and the many other farmers who invested heavily in corn, are feeling the heat.
On Parker's farm at Eagle Lake, cotton has been the primary crop with soybeans and corn planted, too. He said he usually plants about 400 acres of corn and 2,100 acres of cotton. But because of corn's high price he planted about 1,300 acres of each.
Robert Riggins, executive director for the USDA Farm Service Agency in Warren County, said Parker and other local farmers who have followed the corn trend this year are in a serious bind.
They have “booked” or promised to deliver a certain amount and grade of corn to buyers this summer - and many will not be able to deliver.
Riggins said he won't have official statistics regarding the drought's effect on local corn crops until after harvests in July and August, but based on seeing the fields and talking with farmers, he said it doesn't look good.
“The drought occurred during the most critical part of the corn's growth cycle,” Riggins said. “We just didn't get the rain we needed when we needed it. There's some corn that's already turning, and it's very early for that.”
John Coccaro, director of the Mississippi State University Extension Service in Warren County, said it would probably take about 1.5 inches of rain per week over the next month in order for this year's corn crop to turn out decent.
“That's a lot of rain,” Coccaro said. “And the closer we get to July, the less likely something like that would happen.”
Coccaro and Riggins also noted that a vast majority of crops in the area are not irrigated and depend on Mother Nature for moisture.
“A big reason that most farmers in the region don't have irrigation systems is because cotton has been the mainstay crop for so long, and cotton does not require a lot of moisture,” Coccaro said.
Parker's farm is one of those without irrigation. Parker said last week that if he possessed an irrigation system, he would have certainly used it by now.
At this point, Riggins said it's most likely only those who planted their corn late, for whatever reason, who still have a slight chance at a decent crop.
Farmers nationwide turned to corn after prices surged from about $2 per bushel to $4 per bushel predicated on speculation of increased demand for ethanol production.
Those who stuck with cotton and soybeans have a chance to harvest a decent crop. “If there's any good that has come out of this drought, it's that crops have had little problems with diseases,” Coccaro said. “Which has so far helped cotton and soybeans.”
Coccaro, who said it's rare for the state of Mississippi to dip below a million acres of cotton, explained that this year's acreage was estimated at only 650,000 to 750,000. He also noted that soybeans are well below their normal 2 million acres in the state.
Once the corn harvest is complete, the USDA will conduct an assessment and decide whether to declare the region a disaster if production is down 30 percent from estimates.
The USDA will then go to Congress to petition for appropriation for farmers who would otherwise be bankrupted.
“It's all well and good to take advantage of the high crop prices, but this all just goes to show how there's still things beyond the control of the farmers,” Coccaro said.
Corn's market price has doubled in the last two years, and that made an attractive crop.
However, corn is also more vulnerable to bad weather than other crops. And with total rainfall down almost 14 inches from the annual average, Parker, and the many other farmers who invested heavily in corn, are feeling the heat.
On Parker's farm at Eagle Lake, cotton has been the primary crop with soybeans and corn planted, too. He said he usually plants about 400 acres of corn and 2,100 acres of cotton. But because of corn's high price he planted about 1,300 acres of each.
Robert Riggins, executive director for the USDA Farm Service Agency in Warren County, said Parker and other local farmers who have followed the corn trend this year are in a serious bind.
They have “booked” or promised to deliver a certain amount and grade of corn to buyers this summer - and many will not be able to deliver.
Riggins said he won't have official statistics regarding the drought's effect on local corn crops until after harvests in July and August, but based on seeing the fields and talking with farmers, he said it doesn't look good.
“The drought occurred during the most critical part of the corn's growth cycle,” Riggins said. “We just didn't get the rain we needed when we needed it. There's some corn that's already turning, and it's very early for that.”
John Coccaro, director of the Mississippi State University Extension Service in Warren County, said it would probably take about 1.5 inches of rain per week over the next month in order for this year's corn crop to turn out decent.
“That's a lot of rain,” Coccaro said. “And the closer we get to July, the less likely something like that would happen.”
Coccaro and Riggins also noted that a vast majority of crops in the area are not irrigated and depend on Mother Nature for moisture.
“A big reason that most farmers in the region don't have irrigation systems is because cotton has been the mainstay crop for so long, and cotton does not require a lot of moisture,” Coccaro said.
Parker's farm is one of those without irrigation. Parker said last week that if he possessed an irrigation system, he would have certainly used it by now.
At this point, Riggins said it's most likely only those who planted their corn late, for whatever reason, who still have a slight chance at a decent crop.
Farmers nationwide turned to corn after prices surged from about $2 per bushel to $4 per bushel predicated on speculation of increased demand for ethanol production.
Those who stuck with cotton and soybeans have a chance to harvest a decent crop. “If there's any good that has come out of this drought, it's that crops have had little problems with diseases,” Coccaro said. “Which has so far helped cotton and soybeans.”
Coccaro, who said it's rare for the state of Mississippi to dip below a million acres of cotton, explained that this year's acreage was estimated at only 650,000 to 750,000. He also noted that soybeans are well below their normal 2 million acres in the state.
Once the corn harvest is complete, the USDA will conduct an assessment and decide whether to declare the region a disaster if production is down 30 percent from estimates.
The USDA will then go to Congress to petition for appropriation for farmers who would otherwise be bankrupted.
“It's all well and good to take advantage of the high crop prices, but this all just goes to show how there's still things beyond the control of the farmers,” Coccaro said.
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mabdulbaaqee wrote on Feb 16, 2009 9:27 PM:
These pictures are of family members and I would a copy of them. If possible, please email them to my email address. If not, please advise.
Thanks. "