Soybean Surplus Means Lower Market Prices
MANKATO, MN - Soybean prices are falling thanks to a surplus of the commodity.
The USDA is projecting that soybean stocks for the 2018-2019 season could hit 580,000,000 bushels. This is much more than the June estimate of 385,000,000 bushels. Those estimates could even go higher, because of increased soybean acres and the trade dispute with China.
Kent Thiesse, a farm analyst, says: "A lot of the local soybean prices for fall delivery are down near $7.50 a bushel and certainly that's well below the cost of production for most farm operators and is really at the lowest level for a fall soybean price that we've seen for several years."
The same report has good news for corn. The surplus stocks are expected to be lower and that means prices could start climbing.