USDA august crop report and world hunger

                                   USDA august crop report and World Hunger
As in the past when crop reports are updated that affect the grain markets I am giving you the information.  This is for several reasons:  1. many of you have pledged support of an acre with a local growing project and this is your crop, 2. we are trying to give the urban partners an insight as to what farmers are faced with on a day to day basis.  3. grain prices affect how we can feed the world.
   Foods Resource Bank is supporting projects to teach the less fortunate how to grow crops, supply water, market their extra produce, and store for the future.  Price swings in the world grains does not change the results but if we rely on buying grains to feed the hungry a 25% price increase means we feed 25% less people.  The trend over the last several years shows us that we are in a period of higher grain markets as world demand is holding strong.
    August USDA reports have raised the Chicago Board Of Trade corn price to $7.14 after showing a lower expectation of corn yields.  The late plantings and hot summer temps. are the reasons for the reduction.  Other factors on the report show Illinois to have an 8% yield increase and total feed use to be lower for the forth consecutive year.   If those two projections are wrong grain prices will go higher at a future date.  Illinois does not have higher crop condition reports than last year so the 8% increase in yield is questionable.  The feed use decline may slow from historic numbers as our exports have been increasing, livestock producers are finally seeing a profit, and hog buyers are asking for higher weights.  A hog producer needs to sell his animals at optimum weights asked by the processor.  Any sold at a lighter weight does not make any profit, the profit is made on only the correct weight and quality.  For these reasons I also question such a drop in feed usage, I think the livestock numbers will not be reduced nor will they eat less feed.
   Remember to support FRB projects and fight world hunger with us.  Visit the link as follows, http://www.foodsresourcebank.org/donate or support a local growing project through your church or community.
                                                                                                           Serving Together Dean Lundeen