France in the new season will reduce the export of soft wheat to 1.5 million tons
the Forecast of wheat production in the season 2016/17 MG countries of the European Union from the European Agency Strategie Grains remains unchanged relative to the previous report. It is expected that it will reach 146.7 million tons, only 3% less of the harvest season 2015/16. The decrease in the gross collection in Germany and France will be offset by increased production in other EU countries. Thus an assessment of the total export of wheat is reduced by 800 thousand tons to 29.9 million tons.
the Main reason for the reduction of European exports would become France. The forecast export sales for this country experts Strategie Grains lowered by 1.5 million tons. The main problem French traders in the 2016/17 season MG is a poor quality grain caused by a prolonged period of powerful storms and the spread of plant diseases. Most export shipments of French wheat was North African countries. However, some countries of the region, in particular Algeria and Morocco, impose strict requirements regarding the quality of the grain. We should not forget about Egypt with its claims to moisture and complete absence of horns.
Another unpleasant for French export factor will be the increased competition from Russia. Strategie Grains expects the increase in exports of soft wheat from Romania and Bulgaria, which will compensate part of the losses of the French market.
the Agency also raised its forecast for European wheat exports in the season 2015/16 800 thousand ton to the level of 31.2 million.