Southwest Iowa Crop Conditions

Southwest of Storm Lake

Counties of: Woodbury, Ida, Sac, Monona, Crawford, Harrison, Shelby

July 13, 2020

Past Weeks Rainfall: Spotty rains on July 6 and July 9, ranged from light to a few heavy areas. July 9 saw around 1″ on a good area.

Soil Moisture: Most of western Iowa was “abnormally dry” on last week’s Drought Monitor. That may improve with this week’s Monitor on July 16th.

Temperature: Highs upper 80’s to low 90’s, lows upper 60’s to low 70’s. Close to ideal for this time of year.

Crop Progress: Both crops look good in this region. Both are on track or slightly ahead of normal

Corn

Crop Stage: Corn is entering the pollination phase. Tassels are beginning to appear but most will not be mid-pollination until next week.

Yield Potential: Trend-line or better

Soybean

Crop Stage: Beans are 18- 30″ tall and blooming.

Yield Potential: Trend-line or better

Corn Market

Current Prices: $2.97 /bu

Fall Prices: $2.91/bu

Past Weeks Trend: Fall back after late June/early July mini-rally.

Soybean Market

Current Prices: $8.22/bu

Fall Prices: $7.93/bu

Past Weeks Trend: Slightly higher but fallen back in sympathy with corn.

Comments:

Dennis Reyman AFM, ARA

Quarterly planting and stocks report on June 30th was surprising in that USDA found 5million fewer corn acres than the March 31st intentions. Soybean acreage was basical lyun changed. Considering the very fast planting pace this spring, it seems odd to have arecord reduction from intentions to planted acreage. That runs counter to normal farme behavior. Perhaps the 2019 crop was over-estimated and that has to be corrected
somehow. A brief and very small price rally occurred in late June and early July. Sell in gnew-crop corn for $3.10 to $3.20 isn othing to b rag about but it may look good come thi sfall. Those mid-summer sales usually do look good come October. Same thing with beans in the lower $8’s; however, we still contend that bean prices have better upside
than corn due to inventories.

China continues to buy corn and soybeans lately, despite whatever the daily tweets add sor subtract from the situation. Ethanol use has risen back to about 90% of pre-covid usage, so that’s a positive after being cut in half a few months ago.

Weather is the name of the game for the next 45 to 60 days. Yields will be develope dnd determined and price prospects will react accordingly. Cash rents for 2021 will rest somewhat upon this but also will need to factor in all income sources, which nowegular farm program payments.

Crop Update Achives

Please click on the links on the right to view the past pdf’s of our Southwest Crop Conditions reports.