MEMPHIS, TENN. (RFD NEWS) — Combines are hitting the fields as fall harvest ramps up, with fuel costs, weather and Mississippi River conditions among the factors farmers and shippers are watching.
Lewis Williamson with HTS Commodities joined Market Day Report to discuss harvest progress, crop yields, fuel costs and Mississippi River water levels.
Harvest Moving Quickly Across the Mid-South
Williamson said harvest is moving quickly across the Bootheel of Missouri, Arkansas, Louisiana, Mississippi and West Tennessee.
“Harvest is going about as fast as I’ve ever seen it,” Williamson said.
He said the region was facing another 10 days of hot, dry weather, creating a favorable harvest window.
“All in all, you couldn’t ask for a better harvest window,” he said.
Williamson said growers in the region are also reporting strong yields. He said higher prices are also helping producers financially after several difficult years.
“We’re seeing record yields in many areas down here,” Williamson said. “In our own backyard here, the yields have been excellent, especially in corn. It’s been three to four rough years for these guys, and now we’re seeing these big yields and much better prices, so it’s great.”
Crop Conditions Vary Across the Country
While Williamson said conditions have been favorable in his region, he said crop conditions are more concerning in some other areas. He specifically pointed to North Dakota, South Dakota and the Carolinas.
“North Carolina in particular, just 14% of that crop is good to excellent, and it’s a tough situation for them,” Williamson said.
He also discussed recent USDA data and current market positioning, saying markets had traded both sides following the latest yield information.
He said positioning in corn, soybeans and soybean meal remains elevated.
Geopolitical Concerns and Energy Markets
Williamson said overseas developments continue to create uncertainty for agricultural markets.
He pointed to ongoing concerns involving the Strait of Hormuz and the Red Sea, along with developments involving Ukraine and Russia.
He also said biofuel demand has been supportive for ethanol production and soybean crushing.
“That’s helping the producer and helping prices also,” Williamson said.
High Diesel Prices Add Pressure During Harvest
Williamson said high diesel prices are particularly concerning during harvest.
“The price of diesel, wow, that’s sobering, and it couldn’t come at a worse time for the producer down here,” he said.
He said producers in his region are not only harvesting at a rapid pace but are already doing substantial fieldwork for next year’s crop.
“I am shocked at the amount of field work is taking place for next year,” Williamson said.
He said he saw a significant amount of subsoiling and other field preparation while traveling through the Delta.
“It’s a tremendous amount of field work being done as they start preparing for ’27,” he said.
Mississippi River Water Levels in Focus
Mississippi River levels are another concern for grain shippers.
Williamson said the river was at minus 12.5 feet in Memphis, which he said was beginning to create a problem.
However, he said rainfall farther north could help improve river levels.
“With the rain that we’re seeing in the northern portion of the belt right now, I do see that river coming back up,” Williamson said.
At this point, he said he does not expect major restrictions on river transportation.
“I don’t see any big restrictions coming as of yet,” he said.