Wheat Drops to $4.63 as World Production Forecast Raised

Global wheat production will be larger than previously expected amid an improving outlook for supplies from the European Union and Ukraine, the International Grains Council said.

Wheat output worldwide will rise to a record 717 million metric tons in the 2014-15 season, higher than last month’s forecast of 713 million tons and 0.6 percent bigger than the previous year, the London-based IGC said in an e-mailed report today. The agency also raised its forecast for global corn production to 974 million tons, 0.1 percent more than the August estimate while still below last season’s record harvest of 983 million tons.

“Wheat output is already seen at its highest ever level, while prospects for exceptional yields in the U.S. and EU help to boost the global maize forecast to within 1 percent of last season’s biggest-ever crop,” the IGC wrote. “Expectations for large grains, rice and oilseeds supplies continued to weigh on global export prices.”

Bloomberg

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