MarketsFarm — Faced with a late start due to wet conditions, North Dakota farmers are changing their spring planting plans. They’re switching from corn to crops such as soybeans and sunflowers, according to analyst Tom Lilja of Progressive Ag in Fargo.
“Guys just started rolling here on [May 14 and 15] fairly heavy. There was a little rain system we had that put a damper in things last week,” Lilja said.
He said that it’s common for North Dakota farmers to switch from corn under such circumstance as it takes much longer to grow than soybeans, noting that sunflowers can often be another alternative to corn.
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Prior to the start of spring planting, the U.S. Department of Agriculture estimated North Dakota farmers would plant 3.75 million acres of corn, up from last year’s 2.95 million. Soybean acres are to be 6.55 million, bettering last year’s 5.7 million. Total oil/confection sunflower acres were projected to be 659,000 acres compared to 717,000 a year ago.
In USDA’s weekly crop progress report, only five per cent of the corn in the state had been planted as of May 14. That was far below the five-year average of 26 per cent complete.
Also, USDA said two per cent of North Dakota’s soybeans had been seeded, behind the average of 15 per cent done. Sunflowers had yet to register in the department’s report, where the pace should be three per cent.
Among the state’s other crops, oats were 11 per cent planted compared to the five-year average of 40 per cent complete. Spring wheat was two per cent in the ground versus the average of 12 per cent.
Lilja noted Wednesday marked a “tough day in the markets” — one reason being the extension of the Black Sea Grain Initiative that allows Ukraine to export its grain through its ports. The United Nations and Turkey brokered a 60-day extension to the deal that had been set to expire Thursday.
Also, Lilja pointed to China cancelling its purchase of 272,000 of old-crop U.S. corn. Combined with concerns over the U.S. government debt ceiling, the commodity markets had a bearish tone.
— Glen Hallick reports for MarketsFarm from Winnipeg.
