USDA says farmers intend to plant 97 million acres of corn in 2020. As COVID-19 acts as an anchor on the markets, and the ethanol crisis continues to unfold, some analysts say 97 million acres could be a stretch.
House and Senate negotiators have reached a deal on a 2018 farm bill. That agreement now awaits scoring from the Congressional Budget Office to make sure it meets fiscal constraints for farm bill funding.
The most significant policy issue of 2018 looms large over the outlook for the new year. Ag leaders of both parties say actions on trade in the first half of 2019 will decide agriculture’s fate for years to come.
With a large increase in corn acres, and declining ethanol demand, the U.S. could be swimming in supplies. That’s why one analyst thinks there's downside price risk with putting corn in the ground this year.