1. Economics of Crop Production
Ag Credit School
Ames, Iowa
June 1, 2015
Chad Hart
Associate Professor/Crop Markets Specialist 1 1

2. Iowa Crop Shifts
Source: USDA-NASS

3. Iowa Farms and Farmland
Source: USDA-Census of Ag.

4. Productivity
Source: USDA-ERS

5. Change in Input Structure
Source: USDA-ERS

6. Iowa Yields
Source: USDA-NASS

7. Iowa Corn Costs
Source: AgDM A1-21

8. Iowa Soybean Costs
Source: AgDM A1-21

9. Iowa Corn Costs Overall 75% increase 88% 26% 88% 46%
Source: AgDM A1-21

10. Iowa Soybean Costs Overall 69% increase 88% 14% 56% 72%
Source: AgDM A1-21

11. Iowa Corn Prices vs. Costs

12. Iowa Soybean Prices vs. Costs

13. Supply Demand U.S. Corn Supply and Use 2011 2012 2013 2014 2015
Area Planted
(mil. acres)
91.9
97.3
95.4
90.6
89.2
Yield
(bu./acre)
147.2
123.1
158.1
171.0
166.8
Production
(mil. bu.)
12,360
10,755
13,829
14,216
13,630
Beg. Stocks
1,128
989
821
1,232
1,851
Imports 29
160 36 25
Total Supply
13,517
11,904
14,686
15,472
15,506
Feed & Residual
4,557
4,315
5,036
5,250
5,300
Ethanol
5,000
4,641
5,134
5,200
Food, Seed, & Other
1,428
1,397
1,367
1,347
1,360
Exports
1,543
730
1,917
1,825
1,900
Total Use
12,528
11,083
13,454
13,622
13,760
Ending Stocks
1,746
Season-Average Price
($/bu.)
6.22
6.89
4.46
3.65
3.50
Supply
Demand
Source: USDA-WAOB 13 13

14. Arable Land

15. Corn Use for the Next Decade
Source: USDA-ERS

16. Soybean Use for the Next Decade
Source: USDA-ERS

17. U.S. Meat Production
Source: USDA-ERS

18. GDP Growth
Source: USDA-ERS

19. U.S. Crude Oil Prices
Source: USDA-ERS

20. World Corn Markets
Source: USDA 20 20

21. Crop Prices for the Next Decade
Source: USDA-ERS

22. Thank you for your time. Any questions. My web site: http://www. econ
Thank you for your time! Any questions? My web site: Iowa Farm Outlook: Ag Decision Maker: