Grain futures rise on plantings report

Cotton plantings are expected to decline 7 percent, USDA said.
Cotton plantings are expected to decline 7 percent, USDA said.
Futures traders drove commodity prices higher in Tuesday trading after the National Agricultural Statistics Service (NASS) of the U.S. Department of Agriculture released its annual anticipated plantings report.

The NASS reported that corn acreage in 2009 will be down about 1 percent and soybean acreage will go up slightly. Wheat and cotton plantings are expected to decrease by 7 percent each in 2009.

Corn growers intend to plant 85.0 million acres of corn for all purposes in 2009, as lower corn prices and unstable input costs are discouraging some growers from planting corn.

However, producers in the 10 major corn-producing states in the Midwest intend to plant 66.3 million acres, up slightly from the 66.1 million acres planted last year, NASS reported.

Soybean producers intend to plant 76.0 million acres in 2009, up slightly from last year. Anticipated soy-planted area would be the largest on record, with acreage increases of 100,000 acres or more expected in eight states.

Wheat planted area is estimated at 58.6 million acres, down 7 percent from 2008.

Cotton plantings for 2009 are expected to total 8.81 million acres, 7 percent below last year and the lowest since 1983.