b'13.9 billion bushels in October. This means thatThe steep decline in vegetable oil quotations corn production has now fallen 8% from 2021.are to thank, with those cheaper prices offsetting Corn yields were predicted to average 171.9 bush- higher cereal prices, according to FAO. Vegetable els for each acre harvested, falling 4.8 bushelsoil decreased by 6.6%, reaching the lowest level its since 2021. seen since February 2021. Palm, soy, sunflower andWant to read more about Novembers Despite harsh weather conditions with highrapeseed oils international quotations were collec- midterm elections? Make sure totemperatures and a lack of rainfall, the real culprittively lower. In contrast, the FAO Cereal Price Indexflip over to our Strategy article on of the downturn in corn this year is due to cornsincreased 1.5% from August to September. page 72 for more information from four experts in the industry. input costs and inflation, experts believe.What drove that shift in corn acreage andFarmer Sentimentsoybean acreage here in Indiana was almostDespite some decrease in commodity prices, exclusively economics, says Bob Nielsen, Purduehigh fertilizer prices remain top-of-mind for U.S. University Extension corn specialist and profes- producers, largely contributing to the fall in farmer sor of agronomy, noting that grain priceswhilesentiment.exceptional for both corn and soybeanswereIn fact, the Purdue University-CME Group Ag slightly more in favor of soybeans this year. Economy Barometer sentiment index found that8% More importantly, there was a run up in input44% of participants chose higher input costsis the percentage that costs for corn compared to soybeans prior to thewhen asked their number one concernyet itcorn production has beginning of the season, Nielsen adds. That led ais important to note that percentage is less thanfallen since 2021. lot of people to shift more acres into soybeans andAugusts result of 53%. Rising interest rates was fewer to corn as a response to those high inputs. second on the list for producer concerns, chosen by 23% participants. Availability of inputs came Fertilizer and Commodity Prices third, chosen by 14% of participants. 86.6High fertilizer prices are just another piece of theThe index fell 5 points from August tomillion is the amount puzzle that have created obstacles for farmersSeptember, drifting lower to 112. Compared to 2021,of harvested soybean throughout the season. the barometer in September was 10% lower andacres in 2022.According to the Agricultural Marketing Service,producers assessment of current conditions in the fertilizer prices on July 14 were $1,469 per tonCurrent Conditions Index fell 22%.for anhydrous ammonia, $983 per ton for diam-monium phosphate (DAP), and $862 per ton forMidterm Elections 2,768 potash. Adding to that, according to UniversityAs Novembers Midterm elections approached,million tons is the of Illinoiss Nitrogen Fertilizer Outlook for 2023farmers had various factors to consideroneamount of global Decisions, the report states all of those prices werebeing, why are Midterm elections so crucial forcereal production.increased in comparison to the previous year the agriculture industry? While this could mean anhydrous ammonia prices have increased fromchange for the U.S. in terms of policy and regula-$726 per ton on July 15, 2021, an increase of $743tions, it also could have ramifications for the agri-per ton. DAP has increased from $688 per ton, anculture industryparticularly the 2023 Farm Bill. 44% increase of $295 per ton. Potash has risen fromThe bill is up for reauthorization in 2023 and is the amount of $481 per ton, an increase of $381. includes all the USDAs major programs such asgrowers polled that Based on these numbers, experts believe thatnutrition, farm programs, conservation, trade andsaid higher input fertilizer prices will remain high, causing greatresearch. The last Farm Bill cost $867 billion. Whilecosts were their expenses for farmers in 2023. Due to limited sup- funding from the bill is essential to reach goals inNo. 1 concern in plies and increased prices, the predicted season- the industry, oftentimes it is difficult to convince2022, according to average farm pricewhich was already recordofficials in Washington D.C. that American grow- Purdues Ag Economy highhit $9.20, increasing $0.20. ers need the money, making the officials elected inBarometer.In good news, the world food commodity pricesMidterms crucial to the future of the industry.once again declined, making September the sixthThough the elections are over, uncertainty still consecutive month to see a decrease. The Foodlooms on the horizon when it comes to the 2023 and Agriculture Organization of the United NationsFarm Bill.(FAO) Food Price Index averaged 136.6 pointsTherefore, September and October left farmers during September, falling 1.1% from August, yetwith a multitude of uncertainties about the future on remaining 5.5% higher than the same time last year. farm and in the U.S.SW62/ SEEDWORLD.COMJANUARY 2023'