Opportunity for Increased U.S. Sorghum Acres Beyond 2020 Prospective Plantings Projections

LUBBOCK, Texas (March 31, 2020)—National Sorghum Producers CEO Tim Lust released the following statement today in response to the U.S. Department of Agriculture 2020 Prospective Plantings report:

“The Prospective Planting report released today by USDA indicates an 11 percent increase in sorghum acres for 2020. While we are pleased to see a projected year-over-year increase in acres, a lot has changed in our world since the surveys used to help formulate this report were taken in February, and we feel there is greater opportunity for increased sorghum acres in the United States for the 2020-2021 marketing year.

When the analysis was conducted in February, sorghum prices did not reflect basis appreciation from export sales that occurred since that time. Significant purchase activity by China, approaching 1 mmt over the course of the last 7 weeks, has driven basis improvements, and these purchases account for roughly 10 percent of the sorghum produced last year.

Sorghum for export traded at near-parity to corn during the entire month of February. Today, sorghum for export commands a 13 percent premium. These gains have been seen at interior country elevators, as well, with new crop basis gains of $0.20-$0.40 in the past two weeks. These sales and basis improvements are encouraging, and, if this pace continues, will lead to potential for significant farm profitability gains.

With these factors in mind, both domestic and international demand will continue to drive sorghum acres, and we want to assure our customers there will be a productive, high-quality sorghum crop in the United States for the 2020-2021 marketing year. We are committed to providing our growers with information they need to produce a high-quality sorghum crop and our buyers with the most updated information about the availability of U.S. sorghum.”


NSP represents U.S. sorghum producers and serves as the voice of the sorghum industry coast to coast through legislative representation, regulatory representation and education. To learn more about NSP, visit www.sorghumgrowers.com.