An Update on Ehtanol, Biodiesel, Grain Markets, and Implications for Crop Rotations for the Next Few Years

Date
2007-11-29
Authors
Wisner, Robert
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Abstract

As farmers, agronomists, and agribusiness managers are well aware, the rapid expansion in U.S. corn processing for ethanol has triggered large changes in the entire agricultural sector. This year, U.S. planted corn acreage was up by an unprecedented 20% from 2006, with accompanying impacts on seed, fertilizer, chemical, grain bin, and other input sales. With a modest increase in yields from 2006, U.S. corn supplies look fully adequate for the year ahead and are expected to create a modest reserve supply that can be used next year to help fill a growing need for corn for ethanol. Carryover stocks at this writing look large enough to allow some corn acres to move back into other crops.

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