Drought potential means extreme uncertainty over 2013 corn prices

Prices will either rise or fall significantly next year, depending on supply and drought

December 14, 2012
/ Print / Reprints /
/ Text Size+

Purdue economist: US unlikely to dominate future corn exports

A Purdue University Department of Agricultural Economics report says that a return to closer-to-normal corn yields in 2013 could send prices downwards, but drought in some top corn-producing states could have the opposite effect. USDA predicts that prices on 2012 corn will be $7.60 per bushel, but that normal yields in 2013 could cause prices to fall by $2.10 to $5.50 per bushel. That would represent the largest ever year-to-year drop. According to the report, a crop larger than 14 billion bushels would mean that the market must shift from rationing corn use to strongly encouraging its use. However, such production levels are not assured, especially if a western Corn Belt and Great Plains states drought persists into the growing season. If that happens, prices would rise rather than fall, leading to continued uncertainty in the market. To read the report, click here.

Did you enjoy this article? Click here to subscribe to Food Engineering Magazine.

You must login or register in order to post a comment.



Image Galleries

Fabulous Food Plant: Paramount Citrus

Learn more about this fabulous food plant in Food Engineering's article, found here.


Burns & McDonnell project manager RJ Hope and senior project engineer Justin Hamilton discuss the distinctions between Food Safety and Food Defense as well as the implications for food manufacturers of the Food Safety Modernization Act.
More Podcasts


Food Engineering Magazine

Food engineering magazine 2014 april cover

2014 April

Catch a preview of the Powder and Bulk Show in this April 2014 edition of Food Engineering. Also, be sure to check out a coffee stick making a real stir and a major advancement in the the pet food industry.
Table Of Contents Subscribe


Food Authentication Using Bioorganic Molecules

This text provides critical tools and data needed to augment routine food analysis and enhance food safety by aiding in the detection of counterfeit, and potentially deleterious, foods.

More Products

Clear Seas Research

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.

Food Master

Food Master Cover 2014Food Master 2014 is now available!


Where the buying process begins in the food and beverage manufacturing market. 

Visit to learn more.


FE recent tweets