Grain Storage Remains Tight
Despite big grain crops, farmers face limited storage space. Strong production and large carryover stocks have weighed on prices, with another record crop expected to add to the issue.
Slowing export demand and high transportation and storage costs compound the challenge, leaving little room for relief in the months ahead.
USDA Reports
The latest USDA September Grain Stocks and September World Agricultural Supply and Demand Estimates (WASDE) reports highlight the impact of abundant production and trade uncertainty on markets and farm profitability into 2026.
The September WASDE report reinforces that farmers are entering another year of strong supply and limited price strength.
WASDE Outlook
USDA projects corn production for 2025/26 at a record 16.8 billion bushels, supported by slightly higher harvested acreage that offsets a modest drop in yield.
This would far exceed last year’s 14 billion bushels.
Author's summary: Farmers face storage challenges due to record grain crops.