Futures Close Report: 13th June 2017

Concerns over dry conditions in the US causing damage to Spring planted wheat supporting the US Markets.

Australian wheat production is expected to total 24.19 million tonnes, the Australian Bureau of Agriculture, Resource Economics and Rural Sciences (ABARES) said, up nearly 1% from its March forecast of 23.98 million tonnes.  This increase is due to strong production on the East coast, whilst the traditional grain production areas on the west coast are experiencing a reduction of up to 15% against last year’s excellent yields.

UK Wheat exports in April where just under 50k tonnes, the fifth consecutive monthly decline whilst imports hit a season high of 209k tonnes for the month.  Seasonal cumulative numbers put exports at 1.7 million tonnes down from 2.2 last year with imports at 1.48 million tonnes of the season up from 1.27 million last year.