Hot weather hurting Iowa crops - KWWL - Eastern Iowa Breaking News, Weather, Closings

Hot weather hurting Iowa crops

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HARDIN COUNTY (KWWL) -

The heat wave is having a major impact on Iowa crops. The fear of a drought is causing corn and soybean prices to rise significantly. On Thursday corn reached $7.00 a bushel and soybeans have risen to more than $15.00 a bushel.

In Hardin County some of the crops are struggling. Kelvin Leibold, a Field Specialist for the Iowa State Extension Office in Iowa Falls says the heat could hurt the pollination process.

"If the corn doesn't pollinate properly it will not produce kernels and if doesn't produce kernels it doesn't produce a yield. So we're seeing quite a bit of heat stress on most of the crops and as a result the market place has responded to that. We've seen increase in price," said Leibold.

While many people think this might only be a problem for farmers they would be wrong.

"You're going to see higher meat prices, milk prices, and higher egg prices because those types of products have a direct correlation between the corn that goes into them and the output," Leibold.

If crops fail many farmers will have to rely on crop insurance. Experts say payouts could be large for 2012.

"We may have lower yields, but I still expect that my farmers are in pretty good financial shape and so most of the farmers that have insurance will still end up with profitable bottom line for the year. A lot of the farmers do have 15 to 25 percent deductible so it's going to hit them in the deductible, but nonetheless we're a fairly stable Ag economy," said Leibold.

Of the crop insurance sold in Iowa, 85 percent is a revenue product. Farmers won't settle with their insurance companies until after the fall harvest.

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