The USDA has released the June 12 edition of its World Agricultural Supply and Demand Estimates (WASDE) report. The outlook for 2013/14 corn supplies is lowered 135 million bushels to 14 billion with the average yield projected at 156.5 bushels per acre, down 1.5 bushels from the May WASDE estimate.

According to the report, despite rapid planting process during mid-May, rains and cool temperatures have delayed the completion of planting in some parts of the western Corn Belt. These factors have raised the likelihood that seasonally warner temperatures and drier conditions in late July will adversely affect pollination and kernel set in a larger share of this year’s crop.

Domestic corn usage is projected 70 million bushels lower for 2013/14, while projected feed and residual disappearance is lowered by 125 million bushels due to the smaller crop, higher expected prices and increased availability of distillers grains.

The report increases its prediction for corn used in ethanol production by 50 million bushels, in line with an increase this month for the 2012/13 marking year. Food and industrial uses are also projected higher, up 5 bushels from last month.

According to the report, corn ending stocks for 2013/14 are projected 55 million bushels lower. At the projected 1.9 billion bushels, ending stocks are expected to be 2.5 times their 2012/13 level.

The season-average farm price for corn has been increased by 10 cents per bushel, to $4.40 to $5.20 per bushel.

The report states that corn import estimates have been increased by 25 million bushels, and corn exports are projected 50 million bushels lower.

A full copy of the report is available here.