The May World Ag Supply and Demand Estimates report predicts higher corn and soybean production compared to last year.
The corn crop is projected to be a record 16 billion bushels, up from last year on the increased area and a return to trend yield.
The yield projection is 178.5 bushels, with total corn supplies predicted at 18.1 billion bushels.
The season-average farm price is projected at $3.20 a bushel, a 40-cent drop from last year and the lowest since 2006-07.
The soybean crop is projected to be 4.125 billion bushels, up 568 million from last year. Yield is expected to be 49.8 bushels per acre.
Soybean supplies are predicted to rise five percent from last year to 4.72 billion bushels.
The season-average soybean price is projected at $8.20 a bushel, down 30 cents from the previous marketing year.
USDA says total wheat production will be three percent lower than last year, coming in at 1.866 billion bushels, with the all-wheat yield at 49.5 bushels per acre, which is down 2.2 bushels from last year.
The projected season-average farm price for wheat is $4.60 a bushel, unchanged from last year.