Global wheat and corn production forecasts have been revised higher in the latest International Grains Council (IGC) Grain Market Report released on July 18.
The IGC sees 2024-25 total grains production, which includes wheat and coarse grains, 8 million tonnes higher than the June forecast at a record 2.321 billion tonnes, a 1% increase from the previous year.
It said the outlook for wheat production in North America, Pakistan and Kazakhstan was improved, as was the anticipated output for corn in the United States.
“Despite smaller estimated opening inventories and a modest uplift in projected demand, the figure for carryover stocks is raised by 4 million tonnes from June to 586 million tonnes,” the IGC said.
But it also added: “However, with feed, food and industrial consumption expected to increase further, to record highs, a 1% retreat in stocks is envisaged at the end of 2024-25, to a 10-year low of 586 million tonnes.”
With wheat and corn trade expected to decline, global grains trade is projected to recede by 7% year-on-year, to 418 million tonnes, the report said.
A 6% increase year-on-year in soybean production is forecast by the IGC, reaching a peak of 415 million tonnes in 2024-25. Consumption is also raised to a record 404 million tonnes, resulting in a record carryover of 79 million tonnes.
“(Soybean) trade is projected to expand by 3% year-on-year on large shipments, with an uptick in demand from China, Europe and Africa anticipated,” the IGC said.
A record rice crop is also anticipated in 2024-25, reaching 528 million tonnes, up 2% from the prior year.
The IGC’s Grains and Oilseeds Prices Index, which tracks prices for wheat, corn, barley, rice and soybeans, fell by 2% from June and now stands at 224. The index is 16% lower than in July 2023.
