Record-breaking increases in wheat and corn production
|Authors & editors|
|Publisher||Milling & Grain|
|Year of publication||2020|
|Scope & content||Global wheat production has now hit a record-breaking 766 million metric tonnes (mmt), with production seeing a sharp increase in Argentina, Russia and Canada. The EU and United States are not experiencing this same increase but continue produc1tion at a steady level. |
Across the globe, countries are producing record amount of wheat, especia.lly India and China, which is surprising, considering that they are countries not traditionally known for record levels of wheat export.
ice levels nuctuate amid exueme weather conditions
Whilst some countries have seen an increased demand for wheat, following a surge of home baking whilst many have remained in lockdown, rice usage remains constant, with slightly reduced export rates. Long-grain rice production is forecast at 159.1 hundredweight (cwt), whilst both short-grain and medium-grain production is expected to reach 59 million.
Global ending stocks are at a record high, at an estimated level of 3 t 7mmt. Should this estimate come to fruition, this volume would be a five percent inc:rease compared to the 20 I 9/20 harvest year. In contrast, US ending stocks are currently the low,!St in six years and expected to decrease another 11 percent this year.
The US has seen lower imports and higher exports in r>!cent months. Imports of wheat have lowered by 10 million bushels in August to 130 million. Food use in 2019/20 has lowered slightly to 962 million bushels. This is estimated to decrease slightly to 960 million bushels in 2020/21, due to the closure of restaurants and eating out services as a safety precaution against COVID-19. Other countries experiencing production drops include Kazakhstan and Turkey, both experiencing production has decreased slightly, possibly in part due to record rainfall experienced in the Yangtze River Valley in June and July, resulting in reduced harvesting areas and intense flooding. In contrast, a remarkably dry season has also limited harvests in Vietnam and Thailand.
Asia continues to experience much of the demand for rice imports and exports but, despite this, there is a slight decrease in rice exports. Exports of rice in 2020/21 are expected to decrease to 97 million and projected ending stocks are expected to reach 44 .3 million cwt, which is 44 percent higher than 2019/20.
Brazil have experienced a strong past few months in regard o rice exports, which makes up for the past month of reduced rates. Their export market continues to be diverse, ranging from both eastern and western markets and Brazil is expected to remain one of the top rice exporters in 2020/21.