World record wheat production expected

Published 2024년 11월 21일

Tridge summary

The article provides an overview of the global cereals and oilseeds market, with a focus on wheat. The total area for these crops is projected to exceed 1,000 million hectares, yielding around 3,630 million tons, 78% of which will be cereals. Wheat production is expected to reach nearly 795 million tons, with the United States, Australia, Canada, and Argentina seeing an increase in production, while the European Union and Russia face decreases due to drought. This imbalance between production and consumption results in low final stocks, which is expected to sustain prices throughout the cycle. Argentina is poised to be a significant wheat exporter, with Brazil as the primary buyer, and competition is expected in African and Southeast Asian markets.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

(NAP, by Gustavo López*) The forecasts for the area devoted to cereals and oilseeds would reach just over 1,000 million hectares with a final supply of around 3,630 million tons, of which 78% would correspond to cereals. Wheat is no exception, with a total area of 222 million hectares having been sown with a production projection of close to 795 million tons, both variables also record. The growth in production in this cycle is more than offset by the increase in consumption, which translates into final stocks lower than in the previous cycle, equivalent to 15% of demand, or the equivalent of only 56 days of use (obviously without considering the reserves in China, because they are very large and have no relevance in the market analysis, due to its status as a net importer), which allows us to infer prices sustained over time. The improvement is the result of an increase in production in the United States (despite its commitment to continue growing in soybeans and corn), ...

Source: Noticias Agropecurias