Higher energy costs are forcing a shift in planned plantings from corn to soybeans this coming spring, said an economist at the University of Missouri.
Soybeans require fewer input costs, such as fuel, fertilizer and chemicals, than corn.
He spoke at the Show-Me Ag Classic in Columbia. A change in energy cost has multiple impacts. Rising natural gas prices increase the price of fertilizer. Also, higher fuel costs reduce the projected use of irrigation. That in turn lowers yield expectations.