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August 28, 2008, 10:39 pm
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Farmers likely will try to meet wheat demand
April 17, 2008 - 2:06pm — Kristin Holtz
More amber fields of grains will dot the U.S. landscape this summer. According to the U.S. Department of Agriculture’s Prospective Plantings report released March 31, U.S. farmers will plant 63.8 million acres of wheat in 2008, up 6 percent from 2007. In Minnesota the increase is anticipated to be 12 percent. The reason? Skyrocketing market prices. Since last fall, wheat prices have more than doubled from $6 a bushel to $13 a bushel, spiking in February at more than $20 a bushel. Area wheat growers suggest a drop in supply and an increase in demand from overseas buyers are likely causes for the market increase. Don Slinden Jr. and John Slinden, rural Grove City farmers, have consistently planted a couple hundred acres of wheat as part of their rotation. They said the shortage isn’t surprising. “People have kind of gone away from growing it, even in the wheat areas. They’re planting more soybeans and corn,” John said. Wheat production has steadily declined during the past 20 years. According to the USDA’s National Agricultural Statistics Service, 69,103 acres of wheat were harvested in 1990. In 2000, that number dropped to 53,063 acres. During the past decade, acres harvested nationwide has been as low as 45,824. Prices also have been low. In 2000, wheat per bushel was $2.62, gaining only slightly to $3.42 by 2005. Meeker County Extension Educator Nathan Winter said with prices below corn and soybeans, local farmers opted not to plant wheat. Don also believes a falling dollar value has made it easier for overseas buyers to purchase U.S. wheat. Read more about corn and bean expectations in today's April 17 Independent Review.
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