DuPont Pioneer sees big demand for drought-tolerant seed

U.S. farmers show no sign of pulling back on their demand for drought-tolerant corn seed following last year’s exceptionally dry season even if conditions are closer to normal in 2013, the president of DuPont Pioneer said in an interview.

Paul Schickler, president of DuPont Pioneer based in Johnston, Iowa, said the company is expecting its Optimum Aquamax drought-tolerant corn to be planted on about 7 million acres in 2013, up sharply from 1.5 million a year ago – the first real year the company launched the product commercially.

“It was a great year to introduce a drought tolerant product in a year that had historical weather issues but at the same time the products are good, they have been tested thoroughly,” said Schickler on the sidelines of the Council on Global Affairs’ hunger conference in Washington this week.

“Even if this is a more normal year I’m confident that next year in 2014 we’ll have strong demand again,” he said.

Schickler said farmers view the corn seed as “a bit of an insurance” that keeps them competitive under normal weather conditions and gives them better performance for their crops when there is limited water.

The drought last year engulfed more than 60 percent of the lower 48 states, including all of Iowa. The dry condtions sharply cut corn yields to 123.4 bushels per acre, down from 147.2 bushels per acre in 2011. Earlier this month, USDA forecast yield rebounding to 158 bushels per acre in 2013, assuming more normal weather conditions.