Low US corn supplies could lead to record prices in 2013

Dec. 14, 2012 - PRLog -- So far this has been a big year for corn, gaining 11%. Much is to be blame on the hot summer that the mid west had this past summer in the US. Approximately half of the crop was scorched.

On December 11, 2012, the USDA reported world ending stocks for the 2012/2013 season at 117.61 million tonnes, the lowest since 1973.

Corn demand has been steadily increasing from growing consumption of human feed, food additives, and animal feed. Strong demand from China has supported the demand for corn. The growing popualtion, middle class and the robust economy in China has lead them to be a big buyer of US corn, drawing US supplies to ultra low levels.

As the growing world population consumes more corn, there is no error for production of corn. Weather must cooperate this season for South America and next summer for US corn in order for the crops to be a bumper one.

"If the 2013 corn season has another year of unfavorable weather conditions, corn prices could make new record highs in 2013", said HB Group Panama, www.hbgroupintl.com