The advancement in corn seed technology and the performance of genetically modified hybrids in 2005 are transforming the way the industry approaches production and seeding outlooks as the 2006 U.S. planting season approaches.

U.S. corn farmers are at the threshold of the largest adoption of corn seed technology in U.S. history, partly because of the performance displayed by genetically modified stacked hybrids in 2005 amid stressful weather conditions in parts of the Midwest.

Corn seeds with so-called “stacked” traits come in three common varieties: one with a rootworm resistance trait, on with a corn borer resistance trait, and a Roundup Ready variety that has a resistance trait to the Roundup herbicide produced by the Monsanto Company (MON). There’s also a triple-stacked variety that provides resistance to all three.

In 2005, Illinois corn was the poster child for stacked hybrids in their ability to produce yields from 160 to 180 bushels per acre after suffering through a drought during its key growing stages of development, said Dan Basse, president of AgResource in Chicago.

Analysts anticipate farmers will increase planting of genetically modified corn in 2006 by 10%-20% over 2005 levels. In 2005, analysts estimate nearly 48% of feed corn grown in the U.S. was a GMO variety. However, some analysts speculate some areas of the Midwest will be 70%-85% planted to hybrids carrying at least one the three common genetically modified traits.

In 2005, U.S. farmers seeded 81.759 million acres of corn. Analysts anticipate a modest reduction in 2006 U.S. corn acres in the neighborhood of 1 million acres from 2005 levels. The U.S. Department of Agriculture is scheduled to release its first look at 2006 corn acreage in its prospective plantings report on Friday.

The seeds with stacked traits not only provide resistance to rootworms, corn borer and Roundup herbicide, they also provide better drought resistance than normal hybrids, he adds. In addition, he contends, environmentally it’s a step in the right direction because use of the triple-stacked hybrids cuts down on soil contamination from herbicides and insecticides.

The value-added seeds won the hearts and minds of farmers by their performance last year, not only with their resistance traits, but also their ability cut down on labor costs associated with field cultivating, said Mike Zuzolo, chief analyst with Risk Management Commodities Inc. in Lafayette, Ind.

In high-producing areas, such as east-central Illinois, farmers apply granular insecticide when they plant, and such applications can add production costs of $15 to $16 per acre. Rootworm stacked trait seeds can be used to eliminate the insecticide use, a cash-connected analyst said. In addition, drought resistance is better in the stacked hybrids, he adds.

However, the advancement in technology does come with a price tag, with prices of stacked-trait corn varieties well above the price of non-stacked hybrids.

The prices can range from $20 to $100 more per bag depending on the stacked trait used. Stacked hybrids with corn borer resistance cost $20.00 above non-stacked corn, Roundup Ready stacked corn is $30.00 higher, hybrids with rootworm resistance traits are $45.00 per bag higher, and triple-stacked hybrids that contain all three traits can cost as much as $100.00 per bag more than normal hybrid seeds, said Zuzolo.

A bag of corn seed contains 80,000 seeds and is estimated to seed 2.7 acres of cropland per bag depending on plant population.

Seed costs are a significant to a farmer’s bottom line, amounting to roughly $55.00 to $60.00 per acre and when you add in the added cost of fuel and insecticides, farmers are embracing technology to cut down risks associated with Mother Nature, analysts said.

The stacked hybrids look more expensive on paper, but when producers add in extra spraying cost that accompanies normal corn, these seeds save money, said Zuzolo. The hybrids are value added as they cut down on labor associated with applying insecticides as well as enabling the crop to withstand Roundup herbicides without being burned up, Zuzolo added.

During the winter months, the combination of higher costs from anhydrous ammonia and diesel had many analysts expecting farmers to plant anywhere from 3 million to 4 million fewer acres in 2006, but with a decline in natural gas prices and the strong performance of stacked hybrid seeds used in 2005 in less than ideal crop conditions, farmers are rushing to plant new seed technology.

The popularity of the stacked hybrids and the huge difference between stacked and non stacked production in Illinois in 2005, increased the acceptance of genetically modified seeds making it tough to find a bag of available stacked seeds in some areas, Basse said.

Leave a Comment

Name (required)

Email (will not be published) (required)

Website