The days of record high corn prices are gone, at least for now, and they’re only going to continue their decline, according to projections released earlier this month by the U.S. Department of Agriculture. (PDF)
You can pin part of the blame on the 2012 drought, when corn hit an all-time high of $8.31 per bushel. The dry conditions made corn a limited commodity.
U.S. popcorn sellers took a big hit from the 2012 drought, which caused one of the worst popcorn harvests in recent memory. Crops not irrigated were decimated and low supplies continue to force local candy shops and giant movie theater chains alike to pay high prices for the golden grain, biting into their profit margin.
The two-day Emerging Issues in Agricultural Lending Symposium at MU ended Thursday. This is the second year for the symposium, which gathered a variety of agricultural lenders such as loan officers, credit analysists, regulators and board members.
The symposium brought in experts to speak to lenders on challenges the agriculture industry is currently facing and possible solutions.
Symposium Director Joe Horner says the symposium gives an opportunity for experts to share changes with lenders and for lenders to have a chance to share their ideas.
The first day of spring doesn’t feel that way as John Sam Williamson and Chris Starbuck meet up on a county road outside Columbia, Mo.
Temperatures are below freezing and a cold wind is whipping along the flat land here on the Missouri River bottoms. Williamson, a farmer whose family has owned this land for six generations, tugs at the bill of his John Deere cap and Starbuck, a retired University of Missouri plant scientist, pulls his Arborist Society stocking cap further down over his ears.
Seventeen ethanol plants nationwide have been idled since last June because of a scarcity of affordable corn due to the drought and a weak market for the corn-based fuel. On Friday, a plant in Macon, Mo., took the hit — and brought the number to 18.
The northeast Missouri plant is temporarily halting operations as corn prices top $7 a bushel. It's one of 27 plants that Poet Biorefining owns nationwide, and was the first ethanol plant opened in Missouri in 2000. It has been producing 46 million gallons of ethanol per year since 2003.