Posts

RIVIAN | All Electric Pickup Truck

Rivian Automotive LLC expects to build an electric plug-in pickup truck and SUV starting in 2020. Todd Gleason talks with Michael McHale about the startup company and its plans to produce the vehicles in Normal, Illinois. They also take up the impact electric vehicles are having on the automotive industry and potentially ethanol made from corn.

SCO: An Insurance Option Available to More Farmers

Image
Supplemental Coverage Option (SCO) was introduced in the 2014 Farm Bill but was limited to acres where Price Loss Coverage (PLC) was the commodity title program choice. More farmers likely will be choosing PLC for the 2019 and 2020 marketing years, leading to more acres being eligible for SCO. SCO may be attractive to those farmers who find the costs of Revenue Protection (RP) at an 85% coverage level too high. Farmers interested in SCO should discuss eligibility options with crop insurance agents.

by Gary Schnitkey

SCO Background
SCO is available to farmers who choose PLC for receiving commodity title payments. SCO is not available when Agricultural Risk Coverage (ARC) is chosen (farmdoc daily, June 16, 2015). ARC was selected on over 90% of the base acres in corn and soybeans under the 2014 Farm Bill. As a result, SCO was not an option for most Midwest farmers. Similar to the 2014 Farm Bill, the 2018 Farm Bill again gives a choice between PLC and ARC. More farmers likely will choose …

USDA Reports Provide Little Support for Corn and Soybeans

by Todd Hubbs, University of Illinois

The USDA finally released a set of highly anticipated reports on Friday. The results projected lower ending stocks for corn and soybeans during this marketing year. Despite lower ending stock forecasts, the results disappointed and produced a somewhat bearish outlook. The following discussion recaps developments in corn and soybean crop fundamentals coming out of the reports and price implications moving forward.



Corn ending stock projections for the 2018–19 marketing year came in at 1.735 billion bushels, down 46 million bushels from the December forecast. Reduced corn production in 2018 drove ending stocks lower despite a 165 million bushel reduction in total use during the marketing year. Corn production is down 1.4 percent from the November forecast at 14.4 billion bushels. The harvested acreage estimate of 81.7 million acres is down from the November forecast of 81.8 million acres. Average corn yield of 176.4 bushels per acre is 2.5 bushels l…

Backyard Maple Syrup Production Workshop Feb 2

register by January 30thThe fourth annual backyard maple syrup production workshop will be held on Saturday, February 2, 2019 from 10am–3pm at the Dixon Springs Agricultural Center, located at 354 State Highway 145 N, Simpson, IL 62985. This program is free and open to the public. We are offering an expanded program this year! From 10-noon come learn the basics and see firsthand the entire process of backyard maple syrup production. Following a free lunch at noon, we will have maple syrup experts on hand to discuss scaling up production and advanced techniques and demonstrating equipment from 1pm to 3pm. During the morning session, the University of Illinois Extension will provide some activities for kids, including taste testing of real maple syrup!Program Schedule
* 10:00am to Noon - Maple syrup basics, kids activities, field tour
* Noon to 1:00pm - Lunch (provided)
* 1:00pm to 3:00 pm - Advanced techniques and equipment demo You can choose to come to the morning session, the aftern…

January Crop Report Yield Expectations

The January USDA reports have been delayed until further notice because of the government shutdown. It is expected once these numbers are released the changes in the national yields for corn and soybeans could be positive for price.The last time USDA updated corn and soybean yields was in the month of November. Both crops saw a drop in predicted yield for the 2018 harvest. This drop has been since complicated by harvest problems. Todd Hubbs from the University of Illinois says history can sometimes be a guide to how the January Crop Production report might change. More often than not when the yields from October to November go down, the U of I commodities specialist says they drop again in January, “And what you see is when you see a yield change from November to October that is negative, we tend to see a similar change from January to November. Now it doesn’t always hold, but if that were to materialize we probably see a corn number around 177.2 bushels to the acre. I think it might …

January Crop Report Yield Expectations

The January USDA reports have been delayed until further notice because of the government shutdown. It is expected once these numbers are released the changes in the national yields for corn and soybeans could be positive for price.The last time USDA updated corn and soybean yields was in the month of November. Both crops saw a drop in predicted yield for the 2018 harvest. This drop has been since complicated by harvest problems. Todd Hubbs from the University of Illinois says history can sometimes be a guide to how the January Crop Production report might change. More often than not when the yields from October to November go down, the U of I commodities specialist says they drop again in January, “And what you see is when you see a yield change from November to October that is negative, we tend to see similar change from January to November. Now it doesn’t always hold, but if that were to materialize we probably see a corn number around 177.2 bushels to the acre. I think it might be…

Dissecting Collin Peterson's Farm Bill Preview

Last Monday Minnesota Congressman Collin Peterson held a press conference in Moorhead. There in his home state, Mr. Peterson spent twenty-four minutes detailing the Farm Bill conference agreement. University of Illinois Agricultural Policy Specialist Jonathan Coppess listened to the discussion and has this review with farm broadcaster Todd Gleason.

Corn Exports are On Pace

Each Friday over the past three weeks December corn futures closed lower. These lower weekly thresholds have come despite a very good export pace. USDA projects this marketing year U.S. corn exports will top two-point-four-billion bushels. So far that doesn’t look too bad says University of Illinois Agricultural Economist Todd Hubbs, “We are definitely on pace. We’ll above last year’s pace, but everybody needs to remember we got off to a sluggish start last year and it really picked up in the second-half of the marketing year. We’ve seen a little bit of weakness recently, but we are still within the 2.45 billion bushels in my opinion.”Hubbs is okay with USDA’s corn-used-to-produce ethanol figure, too. Although he says that’ll depend on ethanol exports as plant margins are really tight. He’s hopeful the corn-used-for-feed number will look better in January. That’ll depend a lot on the December Grain Stocks report. Still he says, “Right now, from the November projections, we are on trac…