The world's grain production will be lower than last year

This year, 5.7 percent less wheat will grow on Earth, compared to 2008. The expected total weight will be 651 million tonnes. Accordingly, the prices are rising moderately – reports Hungarian Chamber of Agriculture

Due to the drought, in some parts of Europe the decline in production will be bigger. The autumn wheat is in satisfactory condition, but more rain would be need to achieve good yields. In the U.S., there was more rainfall, but the late spring sowings are in late on the water-saturated soils. India and China are counting on a good harvest. The wet weather has increased the expectations in North Africa and in the Middle East. The world consumption is expected for  642 million tonnes. Probably less will be used for feeding than a year ago, otherwise the EU will use more  wheat for industrial purposes. The consumption of maize is expected to increase, especially in the U.S. because the increasing of ethanol production. The total industrial consumption is estimated at 200 million tonnes, which is almost a quarter of the total production.