Corn Harvest Economic Value based on new USDA data – 10/12/2021

USDA increased the new crop  US corn carryout to  1.5 billion bushels this month from 1.4 billion bushels in September. The corn carryout to crop year usage (excluding feed usage) ratio would calculate to 16% based on the October data compared to 15% in September. A 16% ratio would suggest a $4 to $5.25/bushel fall harvest time price range basis No. two yellow corn at central Illinois processors. 

We exclude corn feed/residual usage in our study to only include the more inelastic usage – exports, food and corn used in fuel production. The feed residual category is implicit in the end of season stocks (carryout) data