USDA WASDE report lifted wheat production forecast

According to the US Department of Agriculture (USDA)’s World Agricultural Supply and Demand Estimates (WASDE) report released on August 15, Australia’s new-crop wheat output projection increased by 3.00 million tons to 33.00 million tons.

It is attributed to increasingly favorable weather conditions for grains, which  indicates higher yield prospects.

The latest report also lifted 1.00 million tons in Canberra and Canada’s 2022/23 wheat exports to 25.00 million tons and 26.00 million tons, respectively.

Besides, 3.00 million tons were added to USDA’s 2022/23 forecasts for the crop’s production in China to 138.00 million tons.

Furthermore, Russian output is estimated to grow by 6.50 million tons in July to 88.00 million tons in the same harvesting year amid higher harvested area and yield.

The global wheat output is anticipated to ameliorate to 779.60 million tons, and the supplies are gauged to jump by 4.20 million tons to 1,055.90 million tons as higher production more than offsets slashed starting stocks.

In addition, the estimated wheat consumption is raised by 4.40 million tons to 788.60 million tons, led by Russia and Australia’s highest feed and residual use.

Likewise, the USDA expects the global trade to rise by 3.20 million tons to 208.60 million tons amid increased exports in Moscow, Canberra, Kyiv, Ottawa, and Washington, more than offsetting lower exports from the European Union and Argentina.

UN ship carrying Ukrainian wheat departed

Moreover, a ship settled by the United Nations to transport wheat from Ukraine to nations at risk of famine sailed to East Africa last Sunday.

The Brave Commander vessel departed from the Ukrainian port of Yuzhne, east of Odessa, carrying 23,000 metric tons of wheat.

In July, the Kremlin and Kyiv agreed with the UN and Turkey to restart grain deliveries, whose disruption from the war deepened global food insecurity, wherein millions of people are currently facing extreme food shortages.

Since the deal was signed last month, approximately a dozen freighters have left the invaded east European country with grain products.