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No Room At The Bin: Wheat Surpluses Largest Since 1988

Grain

Sometimes too much of a good thing is bad. Like leftover wheat crops, for example.

In Kansas, grain farmers this year are seeing inventories 29 percent larger than just a year ago, according to government data.

Those numbers, combined with an already existing crop surplus from last year, means farmers are losing profits and places to store this year's surplus.

Consistent surpluses over the past decade drove farmers across the country to expand storage by more than 22 percent, only to face more surpluses and a strong dollar, undermining U.S. grain exports and efforts to store leftover crops.

So where will all that extra grain go? Some growers are getting creative and dumping grain in parking lots or vacant buildings. These are called grain piles, and they're not unusual. But without a floor, walls, and covering, the grain risks exposure to pests and moisture – meaning an extra 40 or 50 million bushels will not find a home.

Others are taking advantage of cheap wheat prices by purchasing grain, corn, and sorghum to feed livestock.

Read More:



  • No Room in U.S. Grain Silos Means Dumping Wheat in Parking Lots (Bloomberg)
  • Surplus of grain is overflowing in silos (Star Tribune)


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