LONDON, U.K. (Reuters) – The International Grains Council has raised its estimate for world wheat production in 2009-10 but is predicting a drop in plantings for next year’s crop.
In a monthly report, the council put world wheat production at 668.3 million tonnes, up 1.5 million tonnes from its previous forecast but still below the previous season’s record 686.8 million tonnes.
“The EU’s (wheat crop) estimate is raised by 1.7 million tonnes after a better than expected harvest in Italy while Kazakhstan’s crop of 15 million tonnes was also larger than anticipated,” the IGC said.
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However, the council cut its forecast for Australia’s wheat crop to 22 million tonnes from a previous projection of 23 million, citing extreme heat.
Total wheat area in 2010 was seen at 549 million acres, down 3.7 million from 2009 but still two percent above the five-year average.
“Harvested areas in the EU should be similar to last year but in Russia and Ukraine they could be smaller than 2009, when frost damage was below normal,” the council said.
“In the U.S., expected lower returns could encourage some farmers to grow less, especially in soft red winter wheat areas affected by planting delays.”
Corn production in 2009-10 was seen at 786.5 million tonnes, down 2.4 million from the previous estimate and below the previous season’s 790.5 million.
