The producer price of edible wheat is 53 percent lower than last year

By: STA Date: 2023. 12. 19. 09:00

In its December forecast, the US Department of Agriculture (USDA) revised upwards the 2023/2024. expected global wheat harvest in the economic year, the output of 783 million tons may be 6.6 million tons short of the record of a year ago.

Compared to expectations in November, a larger harvest is also indicated in Canada and Australia. In Canada, the output could be almost 32 million tons (-7 percent compared to the previous season), and in Australia 25.5 million tons (-37 percent). Global consumption in 2022/2023. compared to the season of 2023/2024, it may increase slightly to 795 million tons. financial year. Despite upward revisions this month to exports from the United States, Australia, Canada and Ukraine, global trade is forecast to remain below last year’s record, with all exporters expected to produce lower than last year. Thus, compared to the previous season, 2 percent less, 211 million tons of wheat can be sold on the world market in 2023/2024. annual season. As a result of all this, the world’s wheat reserves may decrease to 258 million tons by the end of the economic year, thus continuing the downward trend that has been going on for years.

In Hungary, according to AKI PÁIR data, edible wheat was traded at an average producer price of HUF 62.2 thousand per ton without VAT and transport costs in the first week of December

This price level was 53 percent lower than a year earlier. At the same time, feed wheat traded at a producer price of HUF 57,000/ton (-51 percent). On the Chicago Mercantile Exchange (CME/CBOT), the March 2024 wheat quote fluctuated in the range of $222-$236/ton between December 4 and 15. At the same time, the March 2024 quote for the crop on the Paris commodity exchange (Euronext/MATIF) ranged between 223-232 euros/ton.

AKI PÁIR