NEW MEXICO:There were 6.4 days suitable for field work. Topsoil moisture was 20% very short, 21% short and 59% adequate. Wind damage was 21% light and 5% moderate. Farmers were busy with irrigation and harvesting. Alfalfa was in mostly fair to excellent condition, with 100% of the 5^th cutting complete, 65% of the 6^th cutting complete, and 22% of the 7^th cutting complete. Cotton was in mostly fair to excellent, with 82% of bolls opening and 8% harvested. Corn was in mostly fair to excellent condition. The crop was 97% mature and 42% was harvested for grain. Corn for silage was 100% harvested. Sorghum was in poor to good condition, with 85% coloring, 20% mature, and 4% harvested for grain. Wheat was in mostly fair to good condition. Planting had reached 100% complete and 100% had emerged. Peanuts were in fair to good condition with 24% harvested. Lettuce was fair to excellent and harvest is expected to begin soon. Chile was in mostly fair to excellent condition. Green chile was 89% harvested and red chile was 5% harvested. Fall onions were 50% planted. Apples were 88% harvested. Pecans were in mostly fair to excellent condition. Ranchers continue marketing calves, culling herds, and contracting winter feed. Weight gains are decreasing and additional moisture is needed to fill tanks. Cattle were 9% poor, 19% fair, 54% good, and 18% excellent. Sheep were listed as 6% very poor, 9% poor, 18% fair, 59% good, and 8% excellent. Range and pasture conditions were reported as 4% very poor, 20% poor, 32% fair, 35% good, and 9% excellent. 

A slow-moving storm system provided much of New Mexico with precipitation during the week. Some snow fell in the high country, with a cool rain elsewhere. Ruidoso (2.23) reported over two inches of moisture, while Red River (1.67), Chama (1.57), Alamogordo (1.27), Tatum (1.25), Roswell (1.24), Las Cruces (1.10), Clovis (1.06) and Raton (1.01) all measured over an inch. Temperatures for the week were generally above normal, especially in the west, thanks to the cloud cover leading to relatively-warm nights.

Wheat. All wheat production is forecast at 2.17 billion bushels, up slightly from 2004. The World Agricultural Outlook Board (WAOB) projected 2005/06 ending stocks are down 10 million bushels from last month due to higher food use that was partially offset by larger imports. The projected price range for 2005/06 is $3.00 to $3.40 per bushel compared with $3.40 for the 2004 crop. 

Corn. The September forecast for 2005 corn production is 10.6 billion bushels, up 3% from the August forecast but 10% below 2004. Based on conditions as of September 1, yields are expected to average 143.2 bushels per acre, up 4.0 bushels from August but 17.2 bushels below the record high last year. If realized, this would be the second largest crop on record. WAOB projected U.S. ending stocks for 2005/06 are up 179 million bushels from last month because of the higher production forecast and increased beginning stocks due to a reduction in 2004/05 exports. The projected 2005/06 price range for corn is $1.70 to $2.10 per bushel compared with $2.06 for the 2004 crop.

Cotton. The September U.S. cotton production is forecast at 22.3 million 480-pound bales, up 5% from last month but 4% below last year’s record production. Yield is expected to average 782 pounds per acre, up 34 pounds from last month but down 73 pounds from 2003. If realized, both yield and production would be the second highest on record. WAOB projected domestic mill use is unchanged from last month while exports are slightly higher, at 15.3 million bales, reflecting larger supplies and increased demand by China. Ending stocks for 2005/06, at 7.00 million bales, are unchanged from last month but up 22% from the previous year.

Other Crops. Grain Sorghum is forecast at 398 million bushels, up 5% from last month but down 13% from 2004. The peanut crop, forecast at a record high 5.01 billion pounds, is down 3% from last month but up 18% from last year.

Cattle. Mid-September prices for choice steers (Nebraska direct, 1100-1300 pounds) averaged $87 per cwt, up $9 from mid-August. Feeder steer prices (Oklahoma City, medium-large frame, 750-800 pounds) were roughly $112 per cwt, down $2 from a month ago.

Hogs. For the first two weeks of September, hog slaughter was running 1.9% below a year ago. Cash prices at mid-September (Iowa-Southern Minnesota direct, 51-52 percent lean) averaged $49 per cwt, no change from the mid-August price. Fourth quarter prices are expected to average $41 per cwt.

Other. August milk production was up 4.6% from the previous year. Production per cow increased 4.0%, while the number of cows increased 0.6% from a year earlier. The cheddar cheese price (U.S. 40 pound blocks, wholesale) remained unchanged the first two weeks of September. Total cheese production reported for the month of July 2005 was 4.0% above the previous year. Butter production during this same time period was 2.3% above last year. Production of nonfat dry milk for human food was down 11.1% from July 2004. US table egg production during August 2005 totaled 6.46 billion, up slightly from August 2004. Wholesale market egg prices for the third quarter of 2005 (Grade A large, New York) are expected to average 64-65 cents per dozen, compared with 66.2 cents a year ago. Fourth quarter 2005 egg prices are expected to average 68-72 cents per dozen, compared to 68.0 cents a year earlier. Broiler-Type chicks hatched during August 2005 totaled 812 million, up slightly from last year. Weekly Broiler-Type Placements in 19 selected states for the week ending September 17, 2005, were 173 million, down slightly from a year ago. Cumulative placements for the 19 selected states for the period January 2, 2005 - September 17, 2005 totaled 6.50 billion, up 1% from the 6.41 million chicks placed for the same period a year ago. The wholesale 12-city average price for whole broilers for the third quarter of 2005 is expected to be 72-73 cents, compared with 75.7 cents from a year earlier. Fourth quarter 2005 broiler prices are expected to average 71-75 cents per pound, compared with the 68.3 cents for a year earlier. Turkey Poult Placements in August 2005, at 23.6 million, were down slightly from August 2004. Cumulative placements for the 2005 marketing year are 

273 million poults, down 3% from a year ago. Prices (8-16 lb. hens, Eastern Region) for the third quarter of 2005 are expected to be 76-77 cents compared with 73.1 cents for the third quarter last year. Turkey prices for the fourth quarter of 2005 are expected to average 77-81 cents per pound, compared with the 77.1 cents average for the fourth quarter of 2004. Supplies in refrigerated warehouses at the end of August 2005 compared with a year earlier were: total chicken, down 5%; turkey, down 13%; pork, up 9%; bellies, up 45%; beef, down 7%; frozen orange juice, down 23%; butter, down 7% and American cheese, down 1%.

Trade. September U.S. trade projections for corn, soybeans, cotton, and turkeys improved compared, with last month. Wheat, rice, beef, pork, and broilers were unchanged from August. September projections for the volume of exports for the 2005/2006 marketing year compared to 2004/2005 are: wheat down 8%; corn up 10%; rice up 9%; soybeans up 2%;soybean meal down 12%; soybean oil up 6%; and cotton up 7%. September projections for the volume of meat exports in calendar 2006 compared to 2005 are: beef up slightly ; pork up 3%; broilers up 2%; and turkeys up 3%. The U.S. tradedeficit for goods and services decreased to $57.9 billion in July, from a revised $59.5 billion in June. The U.S. agriculturaltrade surplus was $342 million in July, compared with a deficit of $94 million in June. Prices. The rate of inflation, as monitored by the CPI for all urban consumers, increased 0.5% in August and has increased 3.6% over the last 12 months. The PPI increased 0.6% in August and 5.1% over the last 12 months. The August prime rate, averaging 6.44%, was up from 6.25% in July. Compared to a year earlier, feed prices in August were up 6%; feeder livestock and poultry was down 3%;fertilizer up 13%; ag chemicals were unchanged; farm machinery up 6%, seeds up 8%, and fuels up 39%. World Weather and Crop Developments (September 11-18). In the United States, above-normal temperatures prevailed from the Great Plains eastward, exceeding 6 degrees Fahrenheit above normal across the northern Corn Belt. Corn and soybeans matured rapidly in the Corn Belt, while moderate rainfall supported crop conditions. In the northern and central Great Plains, warm conditions were favorable for corn and soybean maturation and winter wheat planting, but dry weather caused crop conditions to deteriorate slightly. Cotton and peanut conditions declined in the Mississippi Delta and Southeast as hot, dry weather further decreased soil moisture levels. Hurricane Ophelia lingered just off the North Carolina coast for much of the week, bringing heavy rainfall to coastal areas, but elsewhere along the middle and southern Atlantic Coast, conditions were mostly dry. From the Rocky Mountains westward, below-normal temperatures and dry conditions favored winter wheat planting. Typhoon Khanun brought unwelcomed rain to cotton in eastern coastal provinces, while beneficial dry weather prevailed elsewhere in EasternAsia. In Australia scattered showers and unseasonably cool weather maintained favorable conditions for winter grain development in the west and south, while rain in the east provided a timely boost in topsoil moisture for reproductive winter wheat and barley. Scattered showers benefited immature corn and other summer crops across the southern plateau ofMexico. In Brazil coffee harvesting neared completion, but rain hampered winter wheat harvesting in the south. Frost and freezing temperatures may have damaged winter wheat and emerged sunflowers in Argentina.

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