Aussie wheat exports record will curb prices
Market analysts predict that Australia will export a record amount of wheat in the coming year, helping to curb upward pressure in global prices.
The Australian Bureau of Agricultural and Resource Economics and Sciences estimate that the country will export 20.4m tonnes in the year starting October 1, up 9.5pc from last year.
Production was forecast at 26.2m tonnes, unchanged from its previous estimate and just short of the record 26.3m tonnes in 2010-2011, the bureau said in a statement.
"Consistent monthly winter rainfall of between 25 and 100 millimetres was received across Western Australia's cropping regions, which is a stark turnaround from last season's dry conditions," said Terry Sheales, acting deputy executive director at the bureau.
"South Australia, Victoria and southern New South Wales recorded average August rainfall and crops in these regions look promising," Mr Sheales added.
Meanwhile, the International Grains Council (IGC) expect animal feed demand for maize in the 2011/12 season to account for 69pc or 489m tonnes of total feed demand.
The ICG forecasts 8pc growth in animal feed demand for wheat at 124m tonnes for the forthcoming 2011/12 campaign reflecting the ongoing recovery in Russian and Ukrainian output.