WASHINGTON AG NETWORK, – GLENN VAAGEN – U.S wheat export opportunity should increase for the new marketing year, that according to the USDA’s July outlook. World Agricultural Outlook Chair Seth Meyer said that is due to less global competition.
“We made a lot of downward adjustments, dropped world production outside of the United States about 10 million metric tons. Problems with production in Australia, the European Union, Russia, Ukraine, based upon what we’ve seen with weather.”
That, in turn, should also contribute to lower global ending supplies for wheat. However, increased U.S. wheat production estimates has led to higher domestic stocks, even with the expected rise in export business.
“We think stocks are going to rise a little bit in wheat carry-out.”
Although year-over-year, ending stocks for wheat have declined. Because of the increased production, Meyer says they also trimmed wheat prices.
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