U.S. Acreage Outlook Fluid

WASHINGTON - Feb 22/08 - SNS -- The acreage outlook for dry edible beans in the United States remains fluid, believes the USDA's Gary Lucier.

Writing in the February edition of the USDA Economic Research Service's Vegetables and Melons Outlook, Lucier said, "In a winter scene likely to be replayed over the next several years, uncertainty reigns in the acreage outlook for dry edible beans.

"Early acreage expectations remain fluid, with growers presented with even more profitable choices than in 2007. Instead of the focus being just on field corn this year, projected net returns indicate that soybeans, wheat, barley, sorghum, and many classes of dry beans could each be very attractive cropping alternatives. Price strength remains broad for virtually all competing field crops but production costs for fuel, fertilizer, and seed are also ratcheting upward.

"The average marketing year price for field corn is projected to be about $3.65 in 2007-08—up from $3.04 a year earlier and $2.00 two years ago. In 2008-09, corn is projected to continue rising as soybean plantings cuts into corn acreage. As a result, although dry bean prices have also risen, they have gained little on corn and lost ground to soybeans."

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