US corn condition ratings dip on week, emergence stays above 5-year average: USDA

New Delhi — The US Department of Agriculture's crop progress report released June 15 showed 71% of planted corn for 2020-21 marketing year to be in good to excellent conditions, down from 75% last week.

The 2020-21 marketing year runs from September 2020 to August 2021.

According to the USDA report, share of corn crop under fair condition rose to 24%, from 21% last week.

Corn under poor conditions was seen at 4% this week, slightly higher than 3% last week, while share of corn in very poor condition remained at 1%.

"Significant declines in corn ratings were seen this week in Colorado, Kansas, Nebraska and Texas due to hot and dry conditions," chief economist with INTL FCStone Arlan Suderman said.

Market was expecting the USDA to hold the corn crop ratings steady for this week, he said.

Among the major producing states, share of corn under poor to very poor corn conditions was seen highest in Illinois and Indiana at 10% and 8%, respectively, and among all the surveyed states, North Carolina reported the highest share of corn under poor to very poor conditions at 14%.

The USDA surveyed 18 corn-producing states in the country, which accounted for 91% of the 2019-20 corn acreage, the report said.

Planting of corn is largely completed in most of the US. In the planting progress numbers released last week, USDA showed that 97% of the intended acreage under corn had been planted.

The USDA estimates corn acreage in the US in 2020-21 will be at 96.99 million acres, 4% higher on the year, and the highest since 2012.

CORN EMERGENCE MAINTAINS PACE

The USDA report showed corn emergence in the surveyed states at 95%, compared to the five-year average of 92%. In 2019, emergence of corn for this period was at 74%.

Inclement weather conditions in 2019 had resulted in an unusually slow planting season for the US. Weather conditions in 2020 have been largely favorable.

The largest corn producing states, Iowa and Illinois, have reported 99% and 96% of corn emergence, compared to the states' five year averages of 95% and 92%, respectively.

In North Carolina, 100% of corn was reported as emerged, according to the report.

Barring three states, corn emergence in other surveyed states was seen to be above 90%, according to the report.

According to weather agency Maxar, temperatures across Midwest are likely to be favorable for development of corn crop this week.

In the latest World Agriculture Supply and Demand Estimates for June, USDA maintained its US corn production forecast for 2020-21 at a record high of 15.9 billion bushels.