The price of corn rose for the third consecutive month in February, reflecting speculation that U.S. inventories will remain tight for the next 18 months even as farmers increase their acreage planting estimates.
    Stockpiles on Aug. 31, 2012, probably will total 865 million bushels, or 6.4 percent of projected consumption, up from the 15-year low of 675 million bushels expected this year, the U.S. Department of Agriculture (USDA) said last week. The department expects farmers will boost planting by 4.3 percent this spring and produce a record crop of 13.73 billion bushels.

Corn futures for May delivery rose 9 cents, or 1.2 percent, to close at $7.31 a bushel Monday on the Chicago Board of Trade. The price rallied 11 percent in February after jumping 21 percent the previous two months. Corn is the biggest U.S. crop, valued at $66.7 billion in 2010, according to government statistics.

Global food costs rose to a record in January after jumping 25 percent in 2010, according to the United Nations. Rising demand should boost net farm income in the United States by 20 percent this year to a record $94.7 billion, the USDA said.