Farmers Cut Back on Corn and Add Soybeans

The New York Times Business
By DAVID STREITFELD
Published: March 31, 2008

Strong worldwide food demand, and the accompanying higher prices, are beginning to influence American farmers.

A government report released Monday indicated that farmers intended to make significant cuts in corn acreage in favor of soybeans. That could help ease shortages of cooking oil, which have hit poor countries hard.

The shift also signaled at least a temporary decline in the appeal in farm country of the renewable fuels boom, much of which is based on corn. High corn prices and low ethanol prices have turned ethanol production into a difficult business.

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