b"U.S. Sorghum Total Commitments(SeptemberAugust)Million Tons62017/18542019/203U.S.China Phase One Agreement Implemented22018/191No Reporting During Lapse of U.S. Government Funding0WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK WK1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 53Source: USDA-FAS Export Sales Reportfor sorghum, we can expect that next year, given no changes inSeed Industry Poised to Service Growing Sorghum trade relations, U.S. sorghum should see positive export growth,Interest he says. One other important factor is that China is not the onlyNicholson agrees the market is indicating more U.S. sorghum market for U.S. sorghum. Japan, Mexico, Vietnam and India alsoacres will likely be planted. With 2020 yields matching the five-offer continued or new, competitive opportunities. year average and a projected five-year high on exports, he says And as long as export demand can keep U.S. sorghum pricesthe 2020-21 sorghum balance sheet looks like it will keep ending profitable, U.S. growers should have the incentive to continue tostocks in the low 30-million-bushel area. That all points to firm grow or expand planted acreage in the future. sorghum prices for the year ahead.The prices sorghum farmers are receiving are definitely posi- When we look ahead and think about sorghum next spring, tive as a result of China's hunger for U.S. sorghum, says Lopez.you have to think about sorghum in the Southern Plains and Unfortunately, for the overall market landscape right now,Great Plains likely having an increase in acreage, says Nicholson. higher prices have diminished domestic market demand to cer- Were expecting more sorghum acres in 2021. Corn and wheat tain degrees, particularly for ethanol and livestock feed. Specialtyacres will be the big question. But I think sorghum (and soy-markets like pet food remain active, but demand volumes are notbeans) will see the biggest acreage increases next year.extremely high because of higher prices and sheer demand forUSDA FAS notes sorghum planted acres had decreased in the crop.2019 some seven percent from the previous year. USDA currently Scott Staggenborg, sorghum product manager, S&W Seedforecasts a moderate increase in U.S. sorghum planted area and Co., says using the past to predict the future would mean it isproduction for 2020-21, with growth expected in Kansas and reasonable to assume current sorghum prices will hold throughTexas. 2021.That jives with Kansas State Universitys cost-return budgets In 2015, sorghum prices were $0.50 to $1.00 higher perreleased earlier this year that projected higher sorghum returns bushel than corn. This trend started in the summer of 2014, andas compared with corn and soybeans. we are seeing stronger sorghum prices now compared with whatGiven current increases in basis and prices, now substan-we saw in 2014, he says. We do have the risk that other coun- tially over the current corn market, producers will respond with tries will increase sorghum acres to meet the Chinese demand,increased sorghum acres to capitalize on prospective futures too, but U.S. sorghum is high quality and is recognized as such. prices, says Lopez. Long term, sorghum is in a positive position Lopez notes China began buying sorghum in October 2020to exploit its strengths as a non-GMO, environmentally friendly already for the marketing year that starts in September 2021. Heand versatile crop. U.S. farmers want and expect value for that.believes that should also be considered a signal for an increaseLopez adds that for continued success, farmers will seek in U.S. sorghum acres for 2020-21 as farmers sense a growingsorghum products that increase yields and increase prices while global need for their crop.offsetting the costs of production to maximize profit potential.100/ SEEDWORLD.COMDECEMBER 2020"