Production of corn for the 2013-2014 harvest will not be as high as projections issued last month after recent figures from the U.S. were slashed, a global grain organization said.
Bloomberg reports the International Grains Council projects the production of corn to push to 942.4 million metric tons after having checked in at 859.1 million tons in 2012-13. Based in London, the organization stated in a report that the outlook has been reduced by 3.6 million tons from an estimate issued on July 1. Production is forecast to develop more rapidly than consumption, according to the group.
"Prices have fallen sharply through July as benign weather conditions have reinforced good output prospects," the IGC stated, according to the news source. "With record crops forecast in the U.S., China and Ukraine, world production is forecast to increase 10 percent."
At 12:14 p.m. on Thursday, corn futures dropped 2.87 percent, a 0.1375-cent slip to $4.6525 per bushel.
Reuters reports the next several days' climate in the U.S. Midwest, a top-growing region, is forecast to be ideal for corn and additional grains, which will encourage healthy crops' growth.
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