By Jamie Martin
The USDA’s April World Agricultural Supply and Demand Estimates report closely followed March projections, showing stability in U.S. crop supplies. Ending stocks for corn, soybeans, and cotton for the 2025/26 marketing year remained unchanged, while wheat stocks increased slightly.
Globally, corn, wheat, and cotton ending stocks rose, suggesting ample supply. Soybean stocks declined slightly, but the overall global balance remained comfortable. Despite steady supplies, USDA increased the season-average price forecasts for all major crops.
Corn prices were raised to $4.15 per bushel, soybeans to $10.30, wheat to $5.00, and cotton to $0.61 per pound. These increases may support producer revenue, especially for those who have not yet locked in prices.
At the same time, higher prices reduce expected Price Loss Coverage payments. Projected PLC rates for the 2025 crop year declined for corn, soybeans, wheat, and seed cotton. Corn and soybean payment rates saw the sharpest declines, while wheat and cotton experienced more modest reductions.
Lower PLC payments could impact producers already managing rising production costs. Final farm program payments will depend on whether PLC or Agriculture Risk Coverage provides greater benefits, with payments scheduled for late 2026.
Futures markets responded unevenly to the report. Corn and soybean futures moved lower following the release; cotton prices increased, and wheat futures were unchanged. These reactions highlight market uncertainty and ongoing demand concerns.
As planting continues, producers are advised to carefully watch both local cash prices and futures markets. Spring offers important marketing opportunities, and informed decisions can help manage risk in a challenging farm economy.
Photo Credit: usda
Categories: National