March 28, 2014
Global 2014-15 wheat production forecast revised up
The International Grains Council (IGC) raised its 2014-15 world wheat production forecast, saying prospects are generally favourable despite concerns about the US crop outlook and political tensions in the Black Sea region.
Global wheat production was projected at 700 million tonnes, up four million from last month''s forecast but still slightly below the prior season''s 709 million.
Global consumption of wheat in 2014-15 was forecast at 700 million tonnes, up from the previous season''s 692 million.
The IGC said in a monthly report that growth in food and feed demand are expected to entirely absorb output with carryover stocks forecast to be little changed in 2014-15.
Boosted by concern that dry weather could curb US production, wheat prices have risen this month, as well as political turmoil in the Black Sea region, a key grain-exporting region.
The Council forecast that global corn production would rise in 2014-15 to a record 961 million tonnes, up marginally from the prior season''s 959 million, leading to a further build-up in stocks to a 15-year high.
"Preliminary projections for 2014-15 indicate a slight expansion in area and assuming yields at similar levels to the previous year, output is forecast up 0.3 %," the IGC said.
Global corn consumption in 2014-15 was projected to rise to 945 million tonnes from the prior season''s 931 million.
It said strong demand growth is expected but, led by a steep increase in the US, world closing stocks are forecast to expand again in 2014-15, potentially to the highest level in 15 years.