This article has been reprinted from the May 17 USDA Grain Transportation Report.
Last week, USDA released its May World Agricultural Supply and Demand Estimates report, which presents the Department’s initial assessment of U.S. and world crop supply and demand prospects for 2018/19.
USDA projects the United States will produce 522.7 million metric tons (mmt) of corn, soybeans, and wheat in 2018/19, down 3 percent from last year and the 3-year average.
Despite the drop in grain production, grain movements could increase slightly in the upcoming marketing year, as USDA forecasts grain exports to grow 2 percent and domestic consumption to remain stable compared to 2017/18.
These projections will continue to be revised in the coming months.
As the report notes, “Due to spring planting still underway in the Northern Hemisphere, and being several months away in the Southern Hemisphere, these projections are highly tentative.”