The increased harvest forecasts of wheat for Canada and Russia increases the pressure on prices

on Monday, the wheat exchanges traded under pressure higher forecast wheat production for Canada and Russia, and data favorable for the development of crops weather in Australia.

Experts to Statistics Canada (Statcan) today increased the forecast of wheat production to 35.7 million tons, which is 10.5% higher than the figure recorded last year and will be the second on the value of a record harvest for all history of observations. This has increased pressure on prices, as analysts had estimated production to 34-35 million tonnes.

the Russian news Agency IKAR yesterday again raised its forecast for the wheat crop by 0.3 MMT to 82.8 MMT and the Agency Sovekon – to 81.2 million tonnes in comparison from 73.61 million tonnes in 2019, while in August, the USDA estimated it at 78 million tons, Agritel 80.5 million tons, the IGC at 79.9 million tons.

Wheat exchange in the United States yesterday moved behind neighbouring markets of corn and soybeans that grew on concerns about the deterioration of the crops did not materialize, after which prices began to fall.

According to USDA, wheat exports from the country during the week decreased by 9% to 516 thousand tonnes, which meets the expectations of the traders. Just 2020/21 MG USA exported 6.7 million tons of wheat, which is 2.2% higher than last year's pace. The main buyers remain Vietnam, Indonesia, Japan and the Philippines.

the September wheat futures in the U.S.:

the

3.22 $/t to 172,88 $/t for solid winter HRW wheat in Kansas city.

• 1,84 $/t to 199,97 $/t for SRW soft winter-wheat in Chicago

Remained at the level of 190,51 $/t hard spring HRS wheat in Minneapolis.

the strengthening of the Euro against the dollar to a record level 1,1974 $/€ decreases the competitiveness of European wheat.

the

• September futures milling wheat on MATIF fell by 0.25 €/t to 187,75 €/t or of 225.2 $/ton, and December by €1/t to 185,5 €/t or 222 $/t

the Pace of wheat exports from the EU are significantly inferior to last year due to reduced harvest in France, which is the main European exporter.

According to the European Commission, the week, the EU exported only 181 thousand MT of wheat, of which Latvia – 85,3 thousand tons, Poland – with 82.2 thousand tons, and the total in 2020/21 MG exported 2.5 million MT of wheat, compared with 4.6 for the same date in 2019

With the start of the season, the EU has reduced compared to the same period last year, imports of soft wheat by 37% to of 409.5 thousand tons, while increased imports of hard wheat by 152% to 570,3 thousand tons

the Containment of export sales increases wheat supply on the domestic market and reduces the need for imports of feed wheat and corn.

corn Imports to the EU decreased compared to 2019 by 30% to 2.6 million t. the Main importer of maize in the EU was Brazil, which since July 1 has put 1.7 million tons, followed by Serbia – 337,566 thousand tons, Canada – 227,837 thousand tons, Ukraine – 173,367 thousand tons and Argentina – 96,239 thousand tons.