USDA Reduces Global Coarse Grains Production By 1.5 Million Tonnes For MY 2018/19

As per the latest release by United States Department of Agriculture (USDA), the global coarse grain production for 2018/19 is forecast 1.5 million tons lower to 1,372.1 million. This months foreign coarse grain outlook is for increased production and consumption, and marginally lower trade. Foreign corn production is forecast higher with increases for Argentina, China, and Ukraine more than offsetting reductions for South Africa and Mexico. Argentinas corn production is up based on higher expected area and yield, with abundant rainfall and benign temperatures over the past two months boosting yield prospects. China and Ukraine are higher based on the latest official statistics. South Africa is lowered as heat and dryness during the month of January, particularly in the western producing areas, reduces yield prospects. Major global trade changes for 2018/19 include increased corn exports for Argentina and Ukraine, partially offset by reductions for South Africa and Mexico. For 2017/18, Argentinas exports are reduced with a partially offsetting increase for Brazil based on observed shipments to date for the local marketing years that both started in March 2018. Imports are raised for South Africa for the marketing years that both started in May 2018. For 2018/19, imports are raised for Chile but lowered for Venezuela. Chinas barley imports are reduced, while barley exports are lowered for Australia. Foreign corn ending stocks are higher, mostly reflecting increases for Argentina and China. Global corn stocks, at 309.8 million, are up 1.0 million.