2013 seed corn prices??

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WJD

Member

• Jul 25, 2012

• #1

We heard today the price of seed corn may double next year? Anybody else heard anything?

 

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tomNE

Member

• Jul 25, 2012

• #1

why? it's all raised in NE under irrigation.

 

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IaGary

Well-known Member

• Jul 25, 2012

• #1

Friend in the business in NE said the seed crop looks great in NE.

 

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RayP(MI)

Well-known Member

• Jul 25, 2012

• #1

Hang onto yer wallet!

 

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JDseller

Well-known Member

• Jul 25, 2012

• #1

I would not bet that the prices will go up very much. The grain farm income is going to take a major hit this year. The high flying days of the last few years are over. No amount of insurance is going to cover what these guys have in this year's crop. They may get the inputs covered but they will not have the 200-400 profit an acre that they have been having.

I already know three guys the bank has put on a watch. They are not going in any deeper with them on operating money. Plus many of the larger grain guys have been on an equipment buying binge. That equipment will have payments that will have to be made too.

It is going to be fun to see how many of the high rents will still be that way next year.

 

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tomNE

Member

• Jul 25, 2012

• #1

great season for irrigated crops in general in NE. bin busters!!!!

 

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paul

Well-known Member

• Jul 25, 2012

• #1

Saw a pic of seed corn ears from a grower in Iowa, about 9 kernals per ear.

Could be interesting farming the next 18 months.

--->Paul

 

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tjdub

Member

• Jul 26, 2012

• #1

There's a <a href="http://www.agweb.com/article/companies_evaluate_current_seed_quality_supply/">good article</a> on agweb.com about it today.

It sounds like the seed producers are predicting a 5 to 10% price increase. Seed companies have done a lot to distribute their risk by growing their seed crops in multiple states/regions and have most of those acres under irrigation, BUT it's a huge drought and there will be losses to drive up price.

I found it interesting that the one seed company representative mentioned that they have acres in South America (Argentina?) that they have contracted for contingency in case of a North American drought and it sounds like they're going to go full-tilt on that.

I don't think a 50% increase is likely and an actual shortage is nearly impossible, but then again the price of corn was predicted to be < $5 a few months ago and now it's predicted to be $10. It's hard to say what's going to happen, but only one thing's for sure, it's going to be a bad year for my cattle operation.

 

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Dick2

Well-known Member

• Jul 26, 2012

• #1

Unfortunately, the drought may continue through next year and beyond. Those of us that are old enough remember that the drought that started in the 1930's extended on until 1943.

That would make land prices fall dramatically!

 

M

MFPoor

Member

• Jul 26, 2012

• #1

I got a letter from my regular seed dealer yesterday. The subject was possible/probable price increases and availability for next year. It's just estimated so far, but I was told to expect $5 to $15 dollar per bag increase. Where the problem may "crop up", is with availability of certain hybrids. Some top sellers may be scarce. Most seed corn brands have grow operations in South American, and have been doing so for decades.

 

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John730D

Well-known Member

• Jul 26, 2012

• #1

Gotta disagree with ya tomNE, There is alot grown in central Illinois, and most of it is not going to make it this year. There is a seed Co. 2 miles from me and seed corn fields all around me. It does not look good.

 

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Paul from MI

Well-known Member

• Jul 26, 2012

• #1

Don't know about pricing, but we're growing a lot of seed corn here in southern Michigan. Almost all of it irrigated, and some of that doesn't look very good. I see some around here that just doesn't look like it will have anything on it, even with the irrigation. This drought is going to change the economics of farming for some time.

 

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jwmfarms

Member

• Jul 26, 2012

• #1

My grandmother told me that in 1930 her grandfather planted corn, and it NEVER got rained on, not even a shower. What did come up never got very tall, and he had none to pick.

 

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sdc eastern ia

Member

• Jul 26, 2012

• #1

What about other inputs? I was told liquid N went up another .05 and that puts it over 60 cents a unit at the teminal. They seem to know that the race horse hybrids need N.

 

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rrlund

Well-known Member

• Jul 26, 2012

• #1

I know full well I'm going to be paying a lot more. I got a letter from Fielders Choice saying they were going out of business so unless I find another discount direct supplier,I'm going to really take it in the backside.

 

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ss55

Well-known Member

• Jul 26, 2012

• #1

The bigger seed corn companies also have experimental farms, seed corn farms and contract growers in Brazil & Argentina. That is so they can experiment with twice as many breeding combinations and generations pert year, one growing season in each hemisphere.

The bigger seed corn companies will likely try to plant a double crop of seed corn in the September 2012 through March 2013 growing season in South America so they will still have a good supply of seed for the 2013 planting in North America. That doesn't mean greed and hysteria won't drive up prices anyway.

 

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ss55

Well-known Member

• Jul 26, 2012

• #1

Are land prices being affected by the drought yet?

 

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ss55

Well-known Member

• Jul 26, 2012

• #1

Are land prices being affected by the drought yet?

 

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Bob Bancroft

Well-known Member

Location

Aurora NY

• Jul 26, 2012

• #1

I have priced, and will shortly be paying for next years fertilizer. It is a little cheaper than it was last Nov-Dec. Maybe it will go up, maybe it will go down. Money setting doesn't do anything, and I'll need the expense before years end anyhow.
Seed is such a game. I buy it before years end also. Seed corn for 2012 averaged something like $165/bag (80K) Dealer gives me all the breaks he can, because he always wants to plant a plot here. I needed 3 more bags to finish- almost $300/bag!!!!!!!!