US Farmers Increase Grain Sales Amid Rising Prices Due to War with Iran
This is reported by AgroReview
American farmers have significantly ramped up the sale of corn, soybeans, and wheat following a sharp rise in grain prices, a consequence of the escalating war with Iran. Since the onset of the conflict, grain prices on global exchanges have noticeably increased, allowing farmers to sell off some of last year’s harvest that had been stored for an extended period due to low prices.
Price Increases Stimulate Sales and Contracting
According to traders, farmers in the U.S. Midwest are actively selling grain from elevators to ethanol producers and large trading companies, including ADM and Bunge. Additionally, many farmers have begun to enter forward contracts for the sale of future crops that have yet to be planted but are expected to be harvested this year. This indicates confidence in the continued high prices for grain crops.
Market Impact on Producers and Record Price Levels
The rise in prices has been a pleasant surprise for farmers, allowing them to partially offset costs for fertilizers, crop protection products, and seeds. At the same time, the farmers emphasize that this is still insufficient to fully overcome the prolonged crisis in the agricultural sector, which has persisted for several years.
“Since the start of the conflict, grain prices on exchanges have significantly increased, providing producers the opportunity to sell part of last year’s harvest, which they had stored for a long time due to low prices.”
According to USDA data, as of December 1, farmers were holding 14% more corn and 2% more soybeans than last year. The substantial grain stocks have allowed farmers to quickly take advantage of rising prices and swiftly bring products to market.
Additional support for prices has come from the rapid increase in oil prices, which has boosted demand for grain crops used in biofuel production. Against this backdrop, soybean futures on the Chicago exchange reached their highest level since May 2024, corn prices rose to a peak not seen since May 2025, and wheat reached its highest marks since June 2024.