U.S. Corn Reserves on June 1 Drop to the Lowest Since 1997Jeff Wilson
Corn supplies on June 1 in the U.S., the biggest producer, fell 12 percent to 2.76 billion bushels, the lowest since 1997 after the worst drought in more than 70 years cut production to a six-year low in 2012, the government said.
Inventories fell from 3.15 billion bushels (80.01 million metric tons) held in farmer and commercial grain bins a year earlier, the U.S. Department of Agriculture said today. The average estimate of 30 analysts surveyed by Bloomberg was 2.862 billion. Usage from March through May was 2.64 billion bushels compared with 2.88 billion during the same period a year earlier.
Supplies held on farms fell 15 percent to 1.26 billion bushels from 1.48 billion a year earlier. Corn reserves held in commercial grain storage fell 9.7 percent to 1.5 billion from 1.67 billion on June 1 2012.
Futures on the Chicago Board of Trade for delivery in December, after the harvest, fell 5.1 percent this month to $5.385 a bushel yesterday. The USDA is forecasting a record harvest in 2013 as output rebounds from last year’s drought, the worst since the 1930s.
Corn is the biggest U.S. crop, with a 2012 value of $77.4 billion, government figures show.