The International Grains Council has trimmed its forecast for global grain production in 2017-2018 to 2,091 million metric tons due to lower expected soybean production.
The new forecast is a decrease of 2 million tons from the previous 2,093 million-ton forecast and a 2.3% drop from the previous seasons record 2,139 million tons, the IGC said.
The IGC raised its 2018-2019 production forecast, upping last months estimate by 1 million tons to 2,089 million tons. That figure would mark a second season of declining production after 2016-2017s record high. The IGC data revealed that an increase in corn and rice forecasts outweighed reduced soybean and wheat predictions.Driving the fall in the 2017-2018 global grain forecast was a 3 million-ton drop in expected soybean production, now seen at 336 million tons. Corn forecasts shed 2 million tons to 1,044 million tons and the IGCs rice estimate rose by 2 million tons to 488 million tons. The report said estimated wheat production remained at 758 million tons.Wheat was last up 1.51% at $ 5.39 a bushel, corn was last 0.55% higher at $ 4.11 a bushel and soybeans were last 0.72% up at $ 10.47 a bushel.
The IGC trimmed its expectations for consumption for the 2018/19 season by three million tonnes to 2.136 billion tonnes, although it remained on course for a rise from the prior season.The IGC also nudged up its forecast for global soybean production in 2018/19 by one million tonnes to 356 million tonnes but reduced its estimate for the prior season by three million tonnes to 336 million.