The number two position in the top five most problematic changes to farm policy belongs to the third and final entry for crop insurance. That fact alone raises concerns and the most concerning change to crop insurance in the Reconciliation Farm Bill are the increased coverage levels and premium subsidies for the Supplemental Coverage Option (SCO) crop insurance policies. CBO projected an additional $1.4 billion in spending for these changes.| farmdoc daily
Since 1980, US exports of grains and oilseeds have grown, but at a slower rate than US domestic consumption, resulting in a declining relative role of exports in the US grain-oilseed sector. The decline reflects many factors, including higher per capita income, which has increased consumption of animal protein, and the longstanding US goal of energy self-sufficiency. It is also consistent with US domestic demand being a more certain demand expansion path than exports.| farmdoc daily
Recent projections for the 2026 crop year suggest a fourth consecutive year of negative farmer returns to corn-soybean rotations in Illinois on cash rented farmland. The current return for owned and cash rented farmland is the same. Farmland ownership has also provided capital returns through increased farmland values. Low farmer returns from cash rent farmland relative to land prices make it difficult for farmers to use rented farmland to build capital to support a farmland purchase.| farmdoc daily
This article examines how U.S. soybean processing has evolved over 60 years, finding that oil extraction rates have increased from 17.9% to 19.8% while waste rates declined. There is suggestive evidence that the renewable diesel boom since 2020 may have accelerated this trend toward higher oil yields, allowing the industry to partially respond to increased biofuel demand.| farmdoc daily
Since 1980, South America’s increasing excess of its production over its consumption of grains and oilseeds has almost completely offset China’s growing excess of its consumption over its production of…| farmdoc daily