- The U.S. crops sector will respond in the short term to relatively high prices in 2011-12, the report said. Planted area for eight major field crops in 2012 is projected to reach 251 million acres, the second-largest acreage level of the past 10 years.
While strong wheat prices are expected to boost wheat plantings for 2012, with relatively weak overall demand growth for wheat, producer returns initially fall and then rise less than returns for other crops in subsequent years. This is expected to lead to a decline in wheat plantings to about 51 million acres by the end of the projection period.
U.S. wheat exports are projected to decline slowly to 900 million bushels annually by the end of the projection period.
Projected price increases for wheat are more moderate than those for corn and soybeans and will decline toward the end of the projection period as U.S. wheat exports fall.