The representative of the USDA in Canada predicts an increase in grain production in 2024/25 MY

According to estimates of the foreign agricultural department of the USDA, in 2024/25, Canada will increase the production of grain (wheat, durum, barley, corn and oats) by 4.9% to 61.4 million tons, in particular, wheat - by 1.7 million tons. t to 33.67 million tons, while Canada's MSG estimates the future wheat harvest at 34.59 million tons.

"Dry weather may force farmers to increase the area under wheat because it is more drought-resistant. At the same time, in most wheat-growing regions, especially in Alberta, as a result of a spring rainfall deficit, wheat productivity may decrease significantly," the US MSG attaché believes.

Barley production may reach 8.99 million tons, which will exceed last year's figure by 100,000 tons, but will be 500,000 tons less than the AAFC forecast. Barley acreage will decrease due to low barley prices, but yields may increase due to favorable weather conditions.

Against the background of increasing domestic grain production and feed supplies, in 2024/25 FY Canada may reduce corn imports from 3.3 to 2.3 million tons compared to the previous season. Canada buys most of the imported corn from the United States, and in 2023/24 FY already purchased 861.7 thousand tons of grain there.

In March, domestic wheat prices in Canada fell to their lowest level since April 2021 under the pressure of lower global prices, but flour in the country costs 23% more than in April 2021.