USDA cuts Russian and European wheat production

Published Jun 13, 2024

Tridge summary

The USDA's June World Agricultural Supply and Demand Estimates (WASDE) report has led to mixed outcomes for the global agricultural market for the 2024/25 marketing year. Notably, it has reduced global wheat production estimates due to weather challenges in Russia, Ukraine, and the EU, leading to a tighter global balance. Despite hot and dry weather impacting Brazil's maize production expectations, overall global maize production remains steady. Soybean ending stocks are projected to be the second highest on record, with minimal changes in production estimates from Brazil and Argentina. The upcoming USDA acreage report and weather conditions in the U.S. will influence the outcomes for U.S. soybean and maize crops.

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

Original content

Sign up to receive the Weekly Market Report and Grain Market Daily from AHDB. Yesterday, the USDA released its June World Agricultural Supply and Demand Estimates (WASDE). For wheat, Russia’s production was cut considerably, which, as well as cuts across Ukraine and Europe has consequently tightened the global 2024/25 balance. There was some tightening to the global 2024/25 maize balance too, both compared to 2023/24 and last month. However, 2023/24 production figures for Brazil and Argentina were unchanged, opposing the average analyst expectation of a downward revision for both regions. Global soyabean ending stocks for 2023/24 remain the second highest on record (behind 2018/19) despite a marginal cut to Brazilian production. However, this could become the third highest should the projected 2024/25 ending stocks be achieved. Globally, the wheat outlook is reported to have a tighter balance next year (2024/25), largely as a result of the smaller supply. Wheat production in ...

Source: Ahdb