How much farmland is used for corn?
90 million acres
Corn is the primary U.S. feed grain, accounting for more than 95 percent of total feed grain production and use. More than 90 million acres of land are planted to corn, with the majority of the crop grown in the Heartland region.
What does a low stocks to use ratio mean?
Low stocks-to-use ratios mean higher prices The downward slope from right to left indicates the two share a negative relationship: a higher SU ratio occurs when corn prices are lower (and vice versa).
What’s a good PE ratio?
So, what is a good PE ratio for a stock? A “good” P/E ratio isn’t necessarily a high ratio or a low ratio on its own. The market average P/E ratio currently ranges from 20-25, so a higher PE above that could be considered bad, while a lower PE ratio could be considered better.
What percentage of corn is fed to livestock?
The largest market for corn grown in the United States is animal feed, as it provides a good source of energy. Nearly half (48.7 percent) of the corn grown in 2013 was used as animal feed.
What percent of crops go to livestock?
Livestock takes up nearly 80% of global agricultural land, yet produces less than 20% of the world’s supply of calories (as shown in the visualization).
How much profit does a farmer make off an acre of corn?
The last time corn returns exceeded $466 per acre was in 2021, when returns were $630 per acre. From 2013 to 2019, corn returns averaged $253 per acre, well below the 2019 projected return. The 2019 projected return is $89 per acre above the average 2013-2019 average return.
Is a PE ratio of 25 good?
The market average P/E ratio currently ranges from 20-25, so a higher PE above that could be considered bad, while a lower PE ratio could be considered better.
Is the US stock-to-use ratio of corn becoming more variable?
Despite the decline in level and variability of US stock-to-use ratios, US domestic use and exports of corn, soybeans, and wheat have not become more variable since 1960 and US market year price has not become more variable since the early 1970s.
How is stocks-to-use ratio calculated?
To calculate the Stocks-to-Use ratio, take the ending stock number, and then divide that by the total demand usage number (provided on the USDA report) which can then be expressed as a percentage. Currently the stocks-to-use ratio for old crop corn and soybeans is significantly tight, which justified the higher prices this spring and summer.
When are corn and soybean stocks reported?
USDA (US Department of Agriculture) reports stocks of field crops as of March 1, June 1, September 1, and December 1. In addition, WASDE ( World Supply and Demand Estimates) contains monthly estimates of stocks at the end of the marketing year, which is the end of August for corn and soybeans.
Are US stocks of corn and soybean really declining?
Reflecting policy changes, the ratio of US corn, soybean, and wheat stocks to use have declined since 1960. Despite holding notably fewer stocks relative to use, the variability of US domestic use, exports, and crop year prices have not increased in general. Stocks are inventories at a point in time.