The European Commission again lowered the forecasts for the grain and rapeseed harvest in 2024/25 MY, which led to an increase in quotations in Paris

Published Aug 30, 2024

Tridge summary

The European Commission has lowered its forecast for EU crop production in 2024/25 MR, expecting a decrease in grain production and export. Specifically, soft wheat production is expected to hit a four-year low, and the export of soft wheat has been reduced from 32 to 26 million tons. Additionally, the forecasts for barley, corn, and rape have also been revised downwards due to adverse weather conditions in key production areas. This has had an impact on the Paris stock market and has led to multi-month low quotations for rape, wheat, and corn on the Paris stock exchange.

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

Original content

Yesterday, the European Commission cut its forecast for EU crop production again, supporting the Paris stock market, which fell to record lows this week, even despite other agencies' recent forecasts for a lower harvest. According to the EC forecast, grain production in the EU in 2024/25 MR will decrease compared to the previous season from 269.9 to 264.5 million tons, in particular, soft wheat - from 125 million tons to a 4-year low of 116.1 million tons (120.8 million tons in the previous forecast). The forecast for the export of soft wheat from the EU in 2024/25 FY has been reduced compared to July estimates from 32 to 26 million tons (35.1 million tons in 2023/24 FY). It will be recalled that other agencies have also recently lowered their forecasts for the production and export of common wheat in the EU due to worse than expected yields in France and Germany, where it rained for a long time, and in the eastern regions of the EU, which were affected by drought. The experts of ...

Source: Graintrade