The ABARE forecast of world wheat prices to be the lowest for the last 18 years
According to the forecast by the Australian Bureau of agricultural and resources Economics (ABARE) in the season 2016/17 MG world wheat prices to be the lowest for the past 18 years.
the demand for wheat from importers and an excessive amount of offers from some exporting countries will put pressure on prices. Despite the projected decline in global wheat production, a number of proposals, as before, will exceed the demand. Reducing wheat yields abundantly kompensiruet increase the initial stocks, creating the conditions for market saturation.
In the ports of the Gulf of Mexico the indicative price for a solid chervonoarmyska wheat of American origin will fall relative to the current season 22 $ to 190 $/ton, which will be the lowest figure since 2001/02 MG.
In the following season of Australia exports of 17.2 million tons of wheat, which is 4% higher than the figure recorded for the current season. However, due to decreasing world prices, the export volume in monetary terms will fall by 7 % to 4.9 billion Australian dollars.
the Gross harvest of Australian wheat in the next season may be 5 % higher than the current season and to reach the level of 25.4 mln ton. During sowing and during the vegetation period was favourable weather conditions. However, actual yields will depend on adequate amounts of moisture during the vegetation period, and the harvesting campaign will take place in October-December of the current year.