Forecasts of wheat production in Australia increase
the Prolonged drought in Australia was a significant factor in the support world wheat prices in January and February because of threatened significant reduction in yield. However, due to precipitation, which took place in Western and South Australia and Victoria, total wheat production in the season 2017/18 grow.
COFCO International Experts estimate the wheat crop in Australia in 2017/18 MG in the range of 20-22 million tonnes is projected that wheat exports will be 16 million tonnes, 7 million tonnes lower than in exports of the 2016/17 season.
currently a serious competitor for Australian wheat on world markets is the grain from Argentina and the black sea countries, the difference in price which can reach 25-30 $/t
Since the beginning of October 2017, Australia exported 3.8 million tons of wheat, which is inferior to the annual average of the same period. However, market players expect a seasonal intensification of supply in the period February – March.
Experts believe that the main buyers of Australian wheat in the current season will be the Philippines, India, Indonesia and China.