Skip to comments.Price of Field Corn at an All-Time High
Posted on 06/09/2011 8:23:00 AM PDT by Qbert
FREDERICK, MD - One local industry that is peaking during this down economy is field corn. According to the Maryland Office of Economic Development, the price of a bushel of the cash crop is the highest its ever been.
Eddie Mercer's 4,500 acre farm has been his livelihood for nearly 45 years and he says he has never seen the price of corn reach this level.
"This is the ultimate high," says Eddie Mercer, President and Owner of Eddie Mercer Agri-Services Inc. "The most time we've ever sold corn is maybe in the $5, but never in the $8 range."
A local agriculture expert says there are a few reasons for this never-seen-before boom. Most striking is the grain industry's globalization. There's a demand for corn all over the country and the world, and Frederick County is a major exporter.
The corn and livestock industries are linked. As corn goes up, so will the price of meats, and ultimately, that cost is passed on to the consumer.
"The livestock people, whether is poultry, hogs, or beef, cannot sustain a loss, you know, for an indefinite periods," says Mercer.
Mercer may be enjoying being in the green right now, but he's concerned for his friends in the business of raising livestock.
(Excerpt) Read more at msnbc.msn.com ...
Up go beef prices
I never knew that Maryland was such a corn powerhouse of a state.
“The corn and livestock industries are linked. As corn goes up, so will the price of meats, and ultimately, that cost is passed on to the consumer.”
The real reason most people are pissed about subsidized ethanol: it competes with subsidized meat and makes it more expensive. Cheap meat has long been the goal of our farm policy, and the farmer is saying ‘screw you’ and looking to other added-value ag opportunities.
People don’t like their ethanol but they love their cheap meat. Subsidy is subsidy. I say get used to it, even if the ethanol subsidy is done away with, technological advances are still going to siphon farm products away to other added-value ag opportunities than meat, or throwing it on a barge and shipping it to China. Farmers are not going to go back to farming 50 years ago no matter how much the luddites want it to return to that.
Dayton Cargill bid line Corn june/july delivery $8.09
Katie, bar the door!
Thank you, all you slimy politicians who have given us ethanol!!!!!
In another thread we were talking about the drought in China, foreign demand from various situations, flooding in the USA and the ever increasing uses for field corn should keep the prices higher for awhile. Maybe some folks will benefit from this in rural areas.
Unintended consequences of ethanol subsidies perhaps?
Corn exports up $1.3 billion in last year, 74 mil last month.
Wheat exports up $358 mil last month!
We’ve got corn for sale at the local supermarket 12 ears for $3. I usually pick up 4 of them, soak em and toss em on the grill with some fish market tuna steaks.
What was the all-time low?
In inflation-adjusted 2008 dollars, corn peaked at almost $16 in 1973. About double what it is now.
Go farther back in history and grain prices were much higher than today. Adjusted for inflation, of course.
So are diesel prices, parts prices, gas prices for running into town for the parts, fertilizer prices, seed corn prices,and so on and so on...
A Populist Jihad against Grrrredy Commodities Speculators is in our near-term political future, and you can take that to the bank. If the pitchfork mob has not already burned down the bank, that is.
Sweet corn isn’t the same as field corn.
In season, I have sweet corn at 10 cents/ear. if it is a bumper year, it is on the back road honor wagons for pay what you can.
Corn Subsidies** in the United States totaled $73.8 billion from 1995-2009.
Year Subsidy Amount
2009 ** $3,975,606,299
Morgan Stanley said corn futures could hit $9 if conditions worsen.
Go figure. Fed is giving farmers subsidies to grow it for Ethanol so that the ethanol can ruin gaskets, O2 sensors and what not to artificially pump-up/replace some gas [badly]. If I could find gas without it, I’d always buy it.
AH! Okay. Thank you for the explanation.
I’m not sure of your motive but don’t call it “value added” when the govt is subsidizing it. We have been selling grain overseas for a long time. This spike in corn is something else. The govt subsidies - over a dollar a gallon for ethanol - has thrown this way out of balance. Perhaps you are a friend to the farmer who rationalizes the good money of taxpayers going to make farmers rich, maybe not, but you don’t really have a standing here to lecture.
An average vehicle consuming gasoline which contains 10% ethanol removes as many calories from the food chain in a year as it would take to keep two people alive for that same year.
Just remember this pal, The price of fertiliser, seed corn, Diesel fuel , they are all at record prices too, and you cannot raise the corn without the other expenses.
Thank you for being a voice of reality.
Evil windfall profits from Big Corn to be taxed?
“Just remember this pal, The price of fertiliser, seed corn, Diesel fuel , they are all at record prices too, and you cannot raise the corn without the other expenses.”
Hey, I’m just the messenger!
No offense meant.
Field corn. Think wood.
Dayton Cargill bid line
Corn closed Thursday july delivery $8.30
So you're saying 1 bushel of corn will get you across the Bay Bridge in 2013???
Maryland "Freak State" PING!
We can get it around here. And we've learned our lesson about using it for the lawn/garden equipment, but can't afford it for driving.
It makes absolutely no sense to me, but when we went by one of the places we know that sells it this afternoon, the price was $4.19 a gallon, and the ethanol added stuff was $3.53.
And if there is no significant rain soon there will be no corn from Eastern Virginia and the entire DelMarVa peninsula. We're not in as bad shape as you folks in Texas, but it is getting there. If we don't get a major rain event before the end of the week, there will be no corn crop from my county. Both sweet and feed corn are pretty much toasted at this point.
This thread is leaving me stunned.
WHERE are the posts about ‘paying farmers not to plant’?
Surely they can’t be a thing of the past?
If they are, why isn’t everyone rejoicing?
Corn is not the only crop that is going to hit our pocket books. I heard a news story the other day that said Texas produces over 50% of the US cotton, and almost all the cotton farmers haven't planted one seed due to the drought. Look for cotton products to increase in price by winter.