Corn Outlook

U.S. & Foreign Coarse Grain Production U.S. share of world production: 90-91: 28.1% 08-09: 29.6%

Coarse Grain Production (mmt) 2006-07 2007-08 2008-09 U.S.A 280.00 349.86 326.09 China 159.10 159.49 173.10 EU-27 137.44 136.52 160.12 Brazil 53.18 61.34 52.21 Argentina 27.54 25.79 19.97 Mexico 29.14 29.73 32.18 Canada 23.15 27.82 27.19

U.S. Corn Acres Planted, 1970-08 2008 was 2nd largest since 1949

U.S. Corn Acres Planted, 1926-08

Million Acres Planted by Crop 2006 2007 Change Corn 78.327 93.600 + 15.273 Soybeans 75.522 64.736 - 10.786 Wheat 57.344 60.433 + 3.089 Cotton 15.274 10.827 - 4.447 Sorghum 6.522 7.718 + 1.196 Oats 4.168 3.760 - 0.408 Barley 3.452 4.020 + 0.568 18 crops 255.398 259.428 + 4.030

Million Acres Planted by Crop 2007 2008 Change Corn 93.600 85.889 - 7.711 Soybeans 64.736 75.878 +11.142 Wheat 60.433 63.047 + 2.614 Cotton 10.827 9.414 - 1.413 Sorghum 7.718 8.327 + 0.609 Oats 3.760 3.217 - 0.340 Barley 4.020 4.234 + 0.214 18 crops 259.428 264.740 + 5.312

U.S. Soybean/Corn Price Ratio, 1975-09

U.S. Average Corn Yield, 1970-08 Yield is increasing by 2 bu/year

U.S. Corn Production, 1970-08

U.S. Corn Price, 1970-09

US Feed & Residual Use of Corn, 1975-09

U.S. Corn Exports, 1975-09

Corn Exports as % Production, 1975-09

Corn Milled for Ethanol Forecast % corn for ethanol: 2000-01: 6% 2005-06: 14% 2006-07: 20% 2007-08: 23% 2008-09: 30%

On 2/19/09 Mar 09 corn settled at $3.53

Structure of Gov’t Payments for Corn, Sorghum, Barley, Oats, Wheat, Cotton, Rice, Soybean, Sunflowers, Canola, Peanuts Target Price Not Tied To Prod Fixed Payment Trigger Price Counter-Cyclical Payment Loan Rate Loan Deficiency Payment Prod Req.

Farm Bill Payments for Corn $0.28 times 85% of base production $2.35 trigger price on 85% of base $1.95 loan rate on actual bushels

U.S. Monthly Average Corn Price

U.S. Monthly Average Corn Price

March 09 Corn Futures

Nearby Corn Futures

Soybean Outlook

U.S. & Foreign Soybean Production U.S. share of world production: 90-91 50.3% 08-09 35.9%

Soybean Production (mmt) 2006-07 2007-08 2008-09 U.S.A 87.00 72.86 80.54 Brazil 59.00 61.00 57.00 Argentina 48.80 46.20 43.80 China 15.97 14.00 16.80 EU-27 1.23 0.73 0.75 Japan 0.23 Mexico 0.08 0.16

U.S. Soybean Acres Planted, 1970-08

U.S. Average Soybean Yield, 1970-08 Yield is increasing by 0.45 bu/year

U.S. Soybean Production, 1970-08

U.S. Soybean Exports, 1975-09

U.S. Soybean Price, 1970-09

On 2/19/09 Mar 09 beans settled at $8.84

U.S. Soybean Ending Stocks & Price Crop Year

U.S. Monthly Average Soybean Price

U.S. Monthly Average Soybean Price

March 09 Soybean Futures

Nearby Soybean Futures

Farm Bill Payments for Soy $0.44 times 78% of base production $5.36 trigger price on 85% of base $5.00 loan rate on actual bushels

U.S. Average Farm Price

Asian Soybean Rust http://www.sbrusa.net/

Wheat Outlook

U.S. & Foreign Wheat Production U.S. share of world production: 90-91 12.7% 08-09 10.0%

Wheat Production (mmt) 2006-07 2007-08 2008-09 U.S.A 49.22 55.82 68.03 EU-27 124.87 119.44 150.27 China 108.47 109.30 113.00 India 69.35 75.81 78.40 Russia 44.90 49.40 63.70 Canada 25.27 20.05 28.61 Australia 10.82 13.84 20.15

U.S. Wheat Acres Planted, 1970-08

U.S. Average Wheat Yield, 1970-08 Yield is increasing by 0.24 bu/year

U.S. Wheat Production, 1970-08

U.S. Wheat Exports, 1976-08

U.S. Wheat Price, 1970-09

On 2/19/09 March 09 wheat settled at $5.19

U.S. Monthly Average Wheat Price

U.S. Monthly Average Wheat Price

Nearby Wheat Futures

Farm Bill Payments for Wheat $0.52 times 85% of base production $3.40 trigger price on 85% of base $2.75 loan rate on actual bushels