Corn in the United States - Research Paper Example

Corn Table of Contents 3 Introduction 4 Analysis 8 Recommendations 13 Summary and Conclusion 15 References 17 Abstract This paper explores corn in the United States. It also focuses a bit on other corn growing countries in the world. The introduction part gives details of the crop including its production and history. The introduction also outlines the cycles of the corn plant from its planting to growth and the conditions required for its growth. The analysis section of the paper gives detailed insight into the consumption, market trends, and grading standards of corn. The recommendation, summary, and conclusion sections of the paper reflect on the information discussed in the first sections. They recommendations section in particular gives information regarding the observations identified in the research. The conclusion and summary provide a recap of the notable findings of the research. The paper uses information from different sources including the ERS and USDA to support the information delivered in the paper. The sources are cited using the APA format of citations and referencing. Introduction Corn also known as Zea mays in its scientific name is an essential cereal that is believed to have originated from the Western Hemisphere. Many people believe that corn originated from the Mexico and southern Argentina while others suggest its origin as the valleys of Mexico. Many theories of its origin have been created, only two of them get serious consideration nowadays. The first one is the teosinte theory of the wild progenitor of corn. The other is the theory of the wild pod corn that is now extinct. The theory suggested that corn was domesticated by ancestors. Many scholars and students accept the first theory, but others are equally convinced that the second is right. Apart from its possible position in the origin of corn, the first theory has had significant impact on its evolution. Specifically in Mexico, introgression between teosinte and corn has mostly occurred for many years and is continuous to this day (Peckham, 2001). The effects are not real in the cytology and morphology of both species. There exists a reason to accept that genes for resistance to particular viruses have brought corn to its introgression with teosinte. Origin of corn might never be clearly known with certainty. A major reason is that the suggestion purporting to explain the origin cannot be tested through experiments. Therefore, science may perhaps be better used if less attention is accorded to determine the origin of corn and more to comprehension of the variability existing within the species (Murray, 2007). Regardless of its origin, corn has proved to be among the most variable and adaptable members of the grass family. It is grown for agribusiness purposes since it does not require a lot of financial input and maintenance. The evolution of corn is largely apparent that it occurred under domestication. It has resulted into different biotypes with possible adaptation that ranges from the tropics right to the northern temperate zone. It is considered to thrive from sea level to 11,000 feet altitude. It grows in periods extending from six weeks to thirteen months from planting to maturity. About 300 different races of corn have been explained from the Caribbean, Mexico, South and Central America. Although many races appear synonymous, there about a hundred and fifty distinct entities that has been sampled in these areas. Most of the corns in America have been derived from these races (Gibson, 2008). After the discovery of cone, it spread to Africa, Asia, and Europe. It spread from Spain northwards to areas that grow short season corn including Germany, Eastern Europe, France, and Austria. The selections for early maturity lead to the production of several earliest varieties that are used for commercial purposes. In Spain and Italy, many South American races are evident to this day. Many varieties of corn grown in Africa were derived from United States and other countries including some parts of eastern South America and Mexico. Most of corn found southern Africa can be traced back to the varieties that were grown in southern United States during colonial and post-colonial periods. The corns grown in tropical midlands Africa resemble the corn of tropical lowland corns of South and Central America. Corn is used for commercial purposes in the United States. It is mostly used for animal feeds. The varieties of corn grown in the Corn Belt are hybrid corns that are favored because of their productivity. The source of the initial inbred lines is used in the production of hybrids that are very useful for commercial purposes. Hybrid corn has agronomic characteristics that make it very good for agribusiness. The environment influences the productivity of corn depending on the conditions that the corn is subjected in its growing season from planting to harvest maturity. Many factors interact in a sophisticated manner to reduce stress on the corn. The corn’s reaction to the subjected stress is normally under genetic control. There exist some differences among hybrids. Corn breeders continue to develop and test new genetic combinations in different environmental conditions to identify different types that can give optimal agronomic performance in different geographical locations and seasons. Corn thrives in altitudes ranging from sea-level to higher altitudes greater than 11,000 feet. Such variances in altitude make it a commercial crop in many regions of the world. Many corn growing areas are considered of the same substandard as the environmental conditions of the United States Corn Belt. In harsh environmental regions, many varieties grown can be considered to have adapted since they respond to the favorable and unfavorable weather and climatic conditions. Open-pollinated varieties of corn have been adapted through selection over long time by both environment and man (Gibson, 2008). Adaptations in the Corn Belt region of corn production in the early 1980s went close to 450 million metric tons every year. The United States contributes over 48 percent of the total corn production. The 13 Corn Belt states of United States annual production of corn accounts for approximately 82 percent of the total corn produced. The Corn Belt is the highest producer of corn in the world. Ideal combinations of climate and soil in the Corn Belt make it favorable fro corn growing. Moreover, advanced technical knowledge by farmers and the prosperity of corn breeders in creating hybrids of corn with superb genetic potential also improves corn production in the region. Corn is normally a warm-weather plant. In the Corn Belt, the average temperatures recorded for summer range between 70 to 80 degrees Fahrenheit during the day and go beyond 58 degrees Fahrenheit at night. The mean frost free growing season is more than 140 days. The highest yields are attained where above 30 inches of rain are experienced during the growing season. The areas with rainfall less than 20 inches experience much reduced yields except from regions where irrigation is used. Annual distribution of rainfall greatly influences maximum yields particularly for the three weeks period within tasseling of the corn (Murray, 2007). There are different types of corn grown in United States and other nations. Food-grade corn that is either yellow or white is among the most dominant specialty varieties grown in Illinois. Most common hybrids yield good quality for usage as food crop. For this reason, the largest variances in growing food crop corn is the care required in drying the corn in the field or with lower temperatures and the handling, storage, and delivery required to keep corn’s kernels intact. Waxy corn contains up to 100% amylopectin starch, in comparison to the 75% of the normal corn. Amylopectin starch has particular properties that are essential in food and industrial products. In comparison to high-amylosecorn, it has lower amylopectin with over 50% amylose that has different characteristics than amylopectin. Therefore, it is used in a different group of human consumption and industrial products. The waxy corn produces high yields like normal corn, and it carries lower risk even when there is not much premium for it. Another type of corn is the high-amylose corn that yields less than the normal corn and is usually grown under contract. Nutritionally enhanced corn has higher than usual oil and or protein with more value as livestock feed. It is utilized for livestock feeds than the normal corn or other hybrids with these characteristics. Many people choose to grow corn hybrids and eat the corn hybrids themselves. The market availability for the nutritionally enhanced hybrids is usually small. This is because there are other alternative for the high protein and oil to complement the livestock feed. Popcorn is another corn variety with hard endosperm that normally expands with short time when moist in the endosperm is changed to steam through quick heating. Normally, most popcorn is grown with a contract by a processor. The popping volume is an essential property of popcorn hybrids, and other premiums can be paid for the hybrids having high popping volume (Gibson, 2008). There are white and yellow hulled popcorn hybrids and other varieties with black or purple seed coat colors. Many popcorn hybrids portray less vigor than the normal corn hybrids which is the reason they show less tolerance to adverse weather conditions. The latest trends involve popcorn being grown under irrigation. The most recent opportunity is the development of non-GMO corn. There is no evidence for nutritional issues or health issues with GM corn. However, many corn consumers are uncomfortable with the corn that is considered unnatural. They doubt the corn containing genes obtained from other organisms. Some are willing to pay extra for corn without the traits of genetic modifications. There are normally strict amounts of genetically modified corn that can be included in human consumption corn. Special tests are conducted on most commercialized genetically modified corn (Murray, 2007). Analysis Table 12--Corn: Cash prices at principal markets (dollars per bushel). The table is obtained from ESR USDA Commodity and mkt yr. 1/ Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Avg 2/ No. 2 yellow, Central IL 2011/12 6.77 6.23 6.26 5.96 6.25 6.41 6.46 6.34 6.27 6.30 7.85 8.15 6.60 2012/13 7.70 7.48 7.39 7.23 7.17 7.15 7.33 6.57 6.83 6.94 6.61 5.98 7.03 2013/14 4.78 4.20 4.10 4.13 4.13 4.33 4.64 4.98 4.72 4.37 3.74 3.59 4.31 2014/15 3.16 3.09 No. 2 yellow, Gulf ports, LA 2011/12 7.50 6.98 6.97 6.57 6.94 7.10 7.13 6.96 6.84 6.79 8.46 8.44 7.22 2012/13 8.15 8.16 8.18 7.85 7.70 7.70 7.85 7.11 7.50 7.58 7.10 6.07 7.58 2013/14 5.27 5.13 5.06 5.06 5.03 5.32 5.65 5.65 5.51 5.14 4.64 4.48 5.16 2014/15 4.14 4.15 No. 2 yellow, St Louis, MO 2011/12 6.66 6.66 6.73 6.61 6.50 6.46 8.00 8.00 6.95 2012/13 7.43 7.32 7.28 6.90 7.13 7.19 7.39 6.60 6.87 7.12 6.59 5.48 6.94 2013/14 4.99 5.03 5.13 4.66 4.44 4.76 5.78 5.28 5.20 5.01 4.70 4.56 4.96 2014/15 4.45 4.45 No. 2 yellow, Omaha, NE 2011/12 6.78 6.28 6.34 6.06 6.39 6.49 6.53 6.43 6.31 6.36 7.71 8.11 6.65 2012/13 7.65 7.67 7.64 7.46 7.40 7.32 7.50 6.80 7.13 7.22 6.62 6.05 7.20 2013/14 5.05 4.30 4.14 4.22 4.20 4.37 4.61 4.90 4.79 4.47 3.64 3.53 4.35 2014/15 3.23 3.05 No. 2 yellow, Chicago, IL 3/ 2011/12 6.90 6.33 6.38 6.09 6.37 6.50 6.62 6.51 6.41 6.49 7.90 8.32 6.73 2012/13 7.91 7.69 7.52 7.28 7.32 7.26 7.43 6.69 7.00 7.14 6.57 6.28 7.17 2013/14 5.04 4.37 4.26 4.29 4.28 4.47 4.79 5.03 4.94 4.56 3.87 3.78 4.47 2014/15 3.60 3.09 No. 2 yellow, Kansas City, MO 2011/12 6.90 6.30 6.46 6.24 6.47 6.59 6.66 6.53 6.41 6.53 7.90 8.22 6.77 2012/13 7.76 7.69 7.73 7.52 7.52 7.45 7.63 6.91 7.17 7.33 6.77 5.69 7.26 2013/14 5.09 4.31 4.24 4.28 4.33 4.50 4.80 4.98 4.90 4.55 3.91 3.65 4.46 2014/15 3.23 2.96 No. 2 yellow, Toledo, OH 2011/12 7.00 6.31 6.34 6.03 6.31 6.53 6.56 6.42 6.31 6.33 7.92 8.16 6.68 2012/13 7.72 7.55 7.45 7.28 7.27 7.24 7.36 6.61 6.90 7.00 6.62 5.94 7.07 2013/14 4.84 4.10 4.03 4.24 4.15 4.35 4.65 4.84 4.70 4.34 3.70 3.54 4.29 2014/15 3.34 3.30 No. 2 yellow, Memphis, TN 2011/12 6.78 6.40 6.47 6.17 6.55 6.70 6.71 6.57 6.38 6.29 7.63 7.54 6.68 2012/13 6.85 7.33 7.65 7.32 7.34 7.31 7.46 6.66 7.01 6.97 6.17 4.86 6.91 2013/14 4.44 4.35 4.36 4.52 4.55 4.88 5.10 5.26 5.13 4.76 4.06 3.75 4.59 2014/15 3.25 3.29 No. 2 yellow, Minneapolis, MN 2011/12 6.51 5.97 6.03 5.78 6.06 6.20 6.33 6.12 6.02 6.04 7.54 7.74 6.36 2012/13 7.26 7.07 7.09 6.91 6.94 6.95 7.07 6.37 6.78 6.91 6.47 5.89 6.81 2013/14 4.86 4.18 4.14 4.12 4.08 4.26 4.46 4.73 4.64 4.28 3.58 3.36 4.22 2014/15 3.10 3.05 No. 2 white, Kansas City, MO 2011/12 7.48 6.84 6.93 7.12 7.73 7.80 7.72 7.13 6.46 6.46 7.80 9.00 7.37 2012/13 8.79 8.61 8.44 8.17 7.96 7.62 7.57 6.95 7.11 7.20 6.62 5.29 7.52 2013/14 4.96 4.77 4.67 4.74 4.76 4.85 4.96 4.98 4.85 4.42 3.93 3.66 4.63 2014/15 3.39 3.47                             The prices of corn in supermarkets and stores are represented in the graph below. The graph shows the prices for the months starting from May to October, 2014. The prices range from 150 to 220 US dollars per metric ton of corn. The trend indicated by the graph shows a decline in the prices of corn from May to October (USDA ERS, 2014). Number 2 yellow Corn prices have been ranging from 3 to 9 US dollars per bushel in the last four years. The prices differ from one city to another. Corn is available in different supermarkets. The trends of the prices in the last five years are graphed below to portray the differences in prices. The price fluctuations observed in the six months are due to increased supply of corn from the month of May to October when harvesting of corn takes place (USDA ERS, 2014). The next table below illustrates the dry corn exported to Mexico. The figures are represented using metric tons of dry corn. It demonstrates the trade relations between United States and Mexico in the exchange of corn products. able 34a-- U.S. exports of high fructose corn syrup to Mexico                             Year Jan. Feb. Mar. Apr. May Jun. Jul. Aug. Sep. Oct. Nov. Dec. 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Calendar Year Fiscal Year Metric Tons, dry weight basis 2009 362.8 461.0 945.6 279.7 861.7 725.1 369.5 367.9 628.5 2,384.8 4,634.7 593.7 1,769.3 1,866.6 1,366.0 7,613.2 12,615.1 15,272.0 2010 4,728.7 5,861.5 7,791.8 7,656.2 6,700.1 15,102.7 12,378.4 3,622.7 7,437.1 6,778.8 14,473.7 4,818.1 18,382.0 29,459.0 23,438.2 26,070.6 97,349.9 78,892.5 2011 5,565.1 5,993.4 11,094.1 11,865.5 11,976.0 21,845.9 12,063.8 5,880.2 4,768.7 4,258.7 3,060.5 5,903.7 22,652.6 45,687.5 22,712.7 13,222.9 104,275.6 117,123.3 2012 2,287.4 10,247.6 6,020.4 26,047.8 4,699.5 15,818.2 10,596.9 7,893.3 8,861.4 7,947.9 10,225.8 7,843.0 18,555.4 46,565.5 27,351.5 26,016.7 118,489.1 105,695.3 2013 6,532.4 9,219.3 2,590.5 1,533.3 5,785.7 4,085.3 3,778.8 3,295.5 3,015.1 2,218.2 4,279.5 2,760.5 18,342.2 11,404.3 10,089.4 9,258.3 49,094.1 65,852.5 2014 5,270.4 1,312.6 2,254.5 2,212.2 3,429.5 1,847.6 2,294.2 1,624.3 2,054.2 The United States has developed many trade agreements with other countries. Mexico is one of the consumers of the corn grown in the United States. The exportation of corn to Mexico is guided by trade agreements between the two countries. The trade agreements should be developed further to make international market of corn better. With this agreement, Mexico and Canada import higher amounts of corn than any other country apart from Japan. The regulatory body NAFTA should make corn marketing regulations better. NAFTA should eliminate all non-tariff barriers to the production of corn. Corn trading activities between the United States and its neighbor, Mexico should be enhanced by further cancelation of many tariffs were. All tariffs and barriers to corn products should be lifted on all goods transported between the Mexico, Canada, and the United States. Making trading between these countries efficient can improve the market of corn (Murray, 2007) Corn is a non-perishable good thus making its storage and marketing easier. It is stored in grain stores. The only challenge facing its storage is moisture that can lead to its destruction through rooting. High moisture content can cause the corn grains to develop a toxin known as aflatoxin. The factors influencing per capita consumption of corn include convenience, heath, and taste. The packaging of corn makes it very convenient for many consumers. The packaging enables consumers to order different sizes and amounts of corn products they want. The taste and convenience of some corn products such as popcorn increase the consumption of corn. The diversity of the market places for corn products increase its per capita consumption. For example, different supermarkets package their corn brands using customized brands that increase the variety of corn products. Moreover, consumers have been sensitized on the importance of taking grains such as corn that are nutritious than taking foods with high fats. The sensitization has drawn many consumers to the consumption of corn products (Production Supply and Distribution of Corn, 2014). The consumption of corn is also influenced by the United Sates grading standards of corn. The standards outline the requirements for corn production, packaging, and processing. The first standard outlines the definition of corn which should contain more the 50% of whole kernel. Corn product is considered complete if it does not contain more than 10% of other grains. Corn is classified as white, yellow or mixed corn. Corn is considered damaged if it is unintentionally damaged by bad weather, mechanical pressure, or diseases and insects. Heat-damaged kernel is another classification of corn that is damaged by excessive heat thus changing its color. The classification influences the consumption of the corn products. Moreover, farmers are pressured to ensure the quality of the corn products based on the standards (United States Standards for Corn, 2014). Corn is graded using five grades. Grade 1 is the corn containing 56.o or higher pounds of weight per bushel. The second grade (Grade 2) contains 54.0 pounds in weight per bushel of corn. Grades 3, 4, and 5 contain 52.0, 49.0, and 46.0 pounds of weight per bushel respectively. The grading standards affect the choice of consumers. Many consumers choose grade one since they are assured of its nutrition content and value (United States Standards for Corn, 2014). Recommendation The United States should prioritize the exportation of corn since it is produced in large amounts in the country. People appreciate increased exports from the United States. Export of corn to Mexico in particular is very important. This is because of the convenience of corn exportation to the country since production of corn from Mexican farms has declined. The production of corn in the country has been decreasing over years meaning that market is increasing for United States. Since free trade exists between the neighbors, it can benefit both countries massively. The corn market in the United States is much commercialized right from the buying of the seeds, to the time of selling the grown corn. This implies that many vital decisions that should be made to make sure all process from growing of corn, to its selling goes well (Peckham, 2001). The marketing channel of corn commences with the containers of seed corn bought by farmers for corn growing. The corn seeds should be priced fairly to ensure that corn farming is profitable. The technology and advancements such as Yield Gard and Roundup Ready should also be priced fairly to make the growth of corn easier and affordable to many corn farmers. Seed corn is among the many inputs used by farmers to grow their corn. They also use fertilizer such as phosphorus and potassium to their farms to replenish the nutrients that the corns the previous seasons have used up. After germination and growth of corn, the farmer can choose to spray particular chemicals to their fields. The chemicals include Buctrilor atrazine that kilsl grasses and broadleaf weeds. These chemicals do not hurt corn. Other expensive chemicals such as Roundup kill everything in the corn fields except the planted corn. They provide the corn plant with resistance to gene in its makeup. The availability of these chemicals should be made easier to all farmers. Moreover, they should be given clear directions of using these chemicals to maximize their effectiveness (Gibson, 2008). Once corn is harvested, the farmer can either store at the local co-op or elevator to sell later, store their corn in bins, or may sell it right away to nearest co-op or elevator. All these depend on whether the corn farmer prefers the price at the harvesting time or not. The price of corn is defined at Chicago Board of Trade. In this board, buyers and sellers come from all over the world to purchase or sell corn. Elevators and co-ops define their price based on the price that is set in Chicago. The price is lower than the price offered in Chicago due to the basis. Basis is the cost of grain handling and transportation to centers close to Chicago. The board should follow the implementation of the prices of corns it sets. When corn farmers decide to sell their corn, they normally sell it to the local cooperatives and elevators. They may also sell the corn to ethanol plant and processing centers. However, most elevators and co-ops cannot process corn. Moreover, they can sell the corn to somewhere else. After selling corn to a processing centers and terminals, the elevator or co-op uses Lorries or rail to transport the corn. In the processing center, these Lorries are unloaded and the corn is then used. Sometimes the corn is sent to terminals, big processing centers on major water bodies, the corn is unloaded and then stored. These processes should be streamlined to maximize the effectiveness of corn processing so that it can reach to the market using least time possible (Gibson, 2008). Increased use of biotechnology has resulted into strict standards during the shipping of corn to foreign markets. Some nations and companies, such as the European Union, do not accept biotechnologically produced corn. Therefore, farmers should inform the elevator and co-ops during delivery whether or not they have used biotech to grow their corn. The elevator and co-ops should then isolate the corn from non-biotech corn. The country should thus set standards of growing corn so that farmers are not inconvenienced in the process of marketing their corn. Summary and Conclusion To improve the profitability in the production of corn through irrigation, it is recommendable to maintain soil water in its upper 50 % of the soil’s availability range specifically in the critical silking and tasseling stages. Farmers should be advised on knowing the types of soils in their fields. It is also possible to manage and evaluate soil conditions. Corn uses lots of water. It is therefore advisable to use water effectively while growing corn. To maintain high productivity, irrigation should be maximized. Fields with lower capacity on medium with fine texture soil can be managed to produce quality corn even in adverse weather conditions. Fields with sandy soils must have greater capacity to yield optimum corm. On sandy soils, lots of water is not used for corn but the soil capillarity is very limited such (Murray, 2007). Private companies market almost all hybrid seeds sold to all corn producers in many countries. Some of the bigger companies have highly skilled breeders who are involved in developing unique inbred corn. Other firms use inbred corn produced by public institutions and parent lines that are crossed and supplied by private seed production companies. As a result of this, very similar hybrids can be marketed by many companies worldwide. In the past decade, some of novel traits of corn have been added into hybrids of corn. Some of the traits in the crop were introduced through traditional crop breeding methods. Other traits were obtained from other species through genetic transformation methods. Currently, the most essential of the novel traits show some relations to pest resistance and tolerance to herbicide (Murray, 2007). Most corn seed companies use suites of the desired traits that available alone or incorporated in different combinations from different genetic backgrounds. It is recommended that potential market restrictions that are associated with several traits of corn should be made known to the public. Few, if any, institutions continuously develop hybrids of corn for public use, but there other research programs which provide industry with diverse gene sources, fundamental research information, and improved inbred lines. Many public scientists have the skills and resources that are not common to private firms. The industry can develop and market quality corn seed in efficient and effective manner than public agencies. Comprehensive market competition ensures innovation and development of better hybrids of corn. References Gibbons, G. (2008). Corn. New York: Holiday House. Murray, J. (2007). Corn. Edina, Minn.: ABDO Pub. Co. Peckham, B. (2001). The First Hundred Years of Corn Refining in the United States. Starch/Stärke, 53(6), 257. doi:10.1002/1521-379x(200106)53:63.3.co;2-6 Production Supply and Distribution of Corn. (2014). Retrieved December 3, 2014, from http://apps.fas.usda.gov/ US Corn Price - Investing.com. (2014). Retrieved December 3, 2014, from http://www.investing.com/commodities/us-corn USDA ERS (2014). Retrieved December 3, 2014, from http://www.ers.usda.gov/publications.aspx United States Standards for Corn. (2014). Retrieved December 3, 2014, from http://www.gipsa.usda.gov/fgis/standards/810corn.pdf Read More