While it was just an estimate of U.S. corn production Thursday – the Renewable Fuels Association says the latest World Agricultural Supply and Demand Estimates report underscores the unique ability American farmers have to feed the world and help renewably fuel the nation. While the numbers could change from the 14.79-billion bushel projection – RFA says it’s clear that with normal growing conditions -farmers will continue to provide safe, reliable food and clean, domestic fuel – silencing the chicken littles that perpetually predict a shortage of corn and catastrophe in the grocery aisle.

By the numbers – RFA Vice President of Research and Analysis Geoff Cooper notes that a 14.79-billion bushel crop would beat the record-setting crop of 2009 by 11-percent; be 65-percent larger than the crop from 10 years ago; and be more than twice as large as the average-sized annual corn crop in the 1980s. The projected yield of 166-bushels per acre would set a record; mark just the third time in history that yields have topped 160-bushels per acre; be 35-percent higher than the average yield from the 1990s; and beat the average yield since 2000 by 12-percent. As for carry-out – the 1.88-billion bushel projection would more than double the 2011-12 carry-out; mark the highest level of carry-out in seven years; be the fourth-largest carry-out of the last two decades; and be 26-percent larger than the average carry-out since 2000.

The U.S. Grains Council reports that Japanese imports of DDGS surged 31-percent ahead of 2010 levels in 2011. U.S. market share climbed from 89-percent to 93.7-percent. The country’s imports of DDGS so far in 2012 are on track to surpass last year’s record – and U.S. market share could increase again. Japan has long been the top international customer for U.S. corn and the Council says the continued growth in interest in DDGS is encouraging. The Council sees another opportunity for DDGS and corn in India. That’s why they are extending their market assessment program in that nation. India is currently a net exporter or corn – but Council Vice President of International Operations Rebecca Bratter says that is likely to change due to strong economic growth and changes in dietary habits.

American Farm Bureau Federation Senior Economist Todd Davis says the latest World Agricultural Supply and Demand Estimates report carried significant news on the corn side. The 2012 U.S. corn crop is projected at 14.8-billion bushels. That is 2.4-billion bushels more than the 2011 harvest – and would set a new record if realized. The current record – set in 2009 – is 13.09-billion bushels. The 2012 corn yield is pegged at 166-bushels per acre. Davis says that’s due to the rapid pace of planting and crop emergence. Corn demand is up too. Feed use is projected up 900-million bushels and exports are expected to increase by 200-million bushels. Davis says the production will outpace that stronger demand – which will likely result in lower prices. But he says it’s those prices that will help fuel the robust demand at home and abroad.

Davis says 2012-13 ending stocks for the domestic corn supply will be at 1.88-billion bushels – an increase of more than a billion bushels. The stocks-to-use ratio is projected to increase to 13.7-percent – the largest since 2009-10. The U.S. marketing-year average price is forecast to drop to $4.60 per bushel. That is sharply lower than the 2011-12 price of $6.10 per bushel.

According to Davis – there was a little surprise in the May WASDE report. He says ending stocks of last year’s corn crop was increased by 50-million bushels. Pre-report estimates had projected a decline in stocks because of stronger demand. According to the report – the demand never materialized because the amount of corn used for feed was reduced by 50-million bushels to reflect a greater use of wheat in feed rations.

The latest World Agricultural Supply and Demand Estimates report pegs the year’s soybean crop at 3.205-billion bushels. That’s an increase of 149-million bushels from 2011 – but isn’t expected to keep up with export demand. Exports are projected to increase by 190-million bushels – with the crush use of soybeans increasing by 10-million bushels. According to American Farm Bureau Federation Senior Economist Todd Davis – that likely means ending stocks of soybeans will fall to just 145-million bushels – a 4.4-percent stocks-to-use ratio – or a mere 16 days of inventory at the end of the year. Davis says that will tend to be a bullish factor and should keep soybeans positioned as the market driver. The U.S. season-average price for the 2012-13 marketing year is forecast at 13-dollars per bushel. That would eclipse the 2012 record of $12.35.

According to Davis – there are several factors leading to this perfect storm for soybeans. South American soybean production is on the decline – with the latest report reducing Argentina’s production 91.8-million bushels and Brazil’s production 36.7-million bushels from April. Globally – ending stocks for soybeans will be the tightest they’ve been since the 2007-08 marketing year at 53.24-million metric tons – a stocks-to-use ratio of 15.5-percent.

The National Pork Producers Council says the practices shown in the undercover video released by the Humane Society of the United States are abhorrent to U.S. pork producers. The group condemns such actions – noting they are not in accord with the industry’s best practices that are exemplified in the Pork Quality Assurance Plus program. NPPC says providing humane and compassionate care for pigs at every stage of life is one of the ethical principles to which U.S. pork producers adhere. The group further states that U.S. pork producers are committed to caring for animals in a way that protects their well-being. NPPC does not defend and will not accept mistreatment of animals. NPPC understands the farm in question is taking immediate steps to address the situation. According to the group – the individuals responsible for willful abuse of animals must be held accountable.

Due to the controversy surrounding Lean Finely Textured Beef – which the media has dubbed pink slime – Beef Products Inc. is closing processing plants in three states. When the plants in Amarillo, Texas, Garden City, Kansas and Waterloo Iowa shut their doors on May 25th – company spokesman Rich Jochum says 650 jobs will be lost. The company’s plant in South Sioux City, Nebraska will remain open – but will run at reduced capacity.

The Department of Economics at Iowa State University will utilize Checkoff dollars to study the economic impacts of the fallout from the slanted coverage of LFTB in the media. ISU’s Dermot Hayes and Texas A&M’s Daniel Otto say nearly three-thousand jobs have been lost or are in jeopardy – along with hundreds of millions of dollars in multiplied sales and tax revenues.

The beef industry has been encouraged to take a more pro-active role in educating the public. H. Russell Cross from Texas A&M suggests failure to do so will lead to public relations disasters of larger proportions in the future – noting the industry has detractors who will be emboldened to use misinformation to further their agendas. Cargill is turning to NASCAR to try to combat the misinformation about LFTB – a filler that’s been used for years and meets federal food safety standards. The company is sponsoring the number 6 car driven by Ricky Stenhouse in 15 NASCAR races this year to promote its finely textured beef.

A new USDA initiative is committed to improving one to seven impaired watersheds in every U.S. state and territory. The launch of the National Water Quality Initiative was announced by Secretary of Agriculture Tom Vilsack Tuesday. He says it signifies a bold step by USDA to improve water quality in very challenging watersheds. Vilsack adds that it provides American farmers – who are good stewards of the environment – with additional tools to protect and improve fish and wildlife habitat and water quality. This year – USDA’s Natural Resources Conservation Service will make at least 33-million dollars in financial assistance available to farmers, ranchers and forest landowners this year through the Environmental Quality Incentives Program. NRCS will provide financial and technical assistance to producers for implementing conservation practices such as cover crops, nutrient management, filter strips and terraces.

To be considered for this fiscal year’s funding opportunity – eligible applications must be submitted by June 15th. To determine whether they are located in a selected watershed – producers can view an online map available on the NRCS website or by checking with their local NRCS office. Applicants will be notified of the results of the competitive selection process this summer.