U.S. producers could plant as many as 3 million more soybean acres this year than in 2015, says Dustin Johnson, AgYield.
“I think soybeans have a chance to see 3 million more [acres], some out of prevent plant and some out of these wheat acres,” Johnson tells “AgDay” host Clinton Griffiths on the Agribusiness Update for Tuesday, Feb. 23. “On top of last year’s number, that’s a lot of soybeans if we get a decent yield.”
He’s referring to winter wheat plantings, which are down 3 million acres. His firm also expects spring wheat plantings to be down an additional 1 million acres. Sorghum could gain as many as 1 million new acres this year compared to 2015, he says, though soybeans are the clear favorite for growth.
“It’s a cost-cutting year, so any acres that are available to go to either crop will probably go to soybeans over corn this year,” Johnson explains.
Don’t put too much stock in USDA's 2016 Agriculture Outlook Forum, happening this week, where economists will be “pushing paper, trying to figure out what they expect for the year for growers to plant,” Johnson advises. Instead, wait for the run-up to the March 31 Planting Intentions report, when private estimates will be published and market action could allow for sales.
“I think there’s going to be some pretty interesting opportunities,” Johnson says.