Reduced corn and soybean production in 2019 and a steady demand have provided underlying price support for crops heading into 2020. Markets are still heavy with supplies, but hawing trade relations and growing livestock production should help stimulate usage.
Farm program payments for the 2019 crop year (to be made in 2020) are likely to be minimal. It’s also unlikely a continuation of the Market Facilitation Program will occur in 2020 given the improved trade conditions. The USDA forecasts the season average farm price for corn at $3.85 per bushel, the highest since 2013. And, the season average price for soybeans is forecast to be $9.00 per bushel compared to $8.48 last year.