Raise in corn prices good for Central Texas farmers
WACO -- Corn is used in a whole lot of things that we do. everything from food, to cattle feed to even ethanol and energy," Director of Publications for the Texas Farm Bureau, Mike Barnett said.
This multifaceted, highly demanded crop is grown in abundance in the US, but the USDA is estimating a 13 percent drop in supply compared to last year.
Surprisingly the drop is good news for Central Texas farmers because prices will surge.
"Our crop is a lot better and our farmers will see some recovery because of the higher prices, and we sure need that after the drought that we experienced last year," Barnett said.
Nationwide farmers are seeing a 20 bushel drop per acre and a 2 dollar increase per bushel compared to last year.
However beef prices are steady as ranchers sell their cattle to packing houses to save on feed.
As many are predicting drought is the new normal weather pattern, technology may soon be catching up to meet the demand.
"Biotechnology is producing more drought resistant corn and other crops. There's a big hope that we will be able to come up with some tools like seed technology that are going to help us weather future droughts."
For now, good old fashioned rain is all that's needed.