U.S. Wheat Planted Area Falls to Record Low
By Stephanie Bryant-Erdmann, USW Market Analyst Over the past decade, U.S. wheat planted area peaked in 2008/09 at 63.2 million acres (25.6 million hectares). Since then, U.S. wheat planted area has fallen 27 percent to a projected 46.1 million acres (18.7 million hectares) in 2017/18 according to the March 31 USDA Prospective Plantings report. If […]
A Look at the Current Global Ocean Freight Market
By Jay O’Neil, Senior Agricultural Economist, IGP Institute For dry-bulk vessel owners and their customers, the first quarter of calendar 2017 has revealed rather dramatic changes in freight rates and vessel values and points to additional volatility ahead. From 2009 through 2015, owners made what I consider an unreasonable and uncontrolled expansion of the dry-bulk […]
Global Durum Production Expected to Fall in 2017/18
By Stephanie Bryant-Erdmann, USW Market Analyst Global durum prices remain under pressure from a large 2016/17 crop. Per International Grains Council (IGC) data, global durum production increased 3 percent year over year to 40.2 million metric tons (MMT), 9 percent above the 5-year average and the largest since 2009/10. As reported in the USW Price […]
USDA Expects U.S. Wheat Production to Fall 20 Percent Year-Over-Year
By Stephanie Bryant-Erdmann, USW Market Analyst The USDA held its annual Agricultural Outlook Forum Feb. 23 to 24 where the 2017 Grain and Oilseeds outlook was presented. USDA currently estimates 2016/17 (June to May) wheat acreage at 46.0 million acres (18.6 million hectares), a nine percent decrease from last year. USDA reported that winter wheat plantings are […]
PNW Vessel Delays Begin to Improve
By Steve Wirsching, USW Vice President and West Coast Office Director This winter the Pacific Northwest (PNW) has seen snowstorms and record rainfall that reduced vessel loading and inbound rail service. A slowing of rail service for just a few weeks manifested itself into long vessel lineups and loading delays of up to three to […]
HRW Rallies Supported by Supply and Demand Factors
By Stephanie Bryant-Erdmann, USW Market Analyst Since Jan. 1, the nearby wheat futures contract for hard red winter (HRW) on the Kansas City Board of Trade (KCBT) rallied 13 percent or 54 cents per bushel ($20 per metric ton) returning to price levels like those seen in June 2016. The rally is drawing support from […]
Dave Green Replaces Ben Handcock at Wheat Quality Council
Dave Green, a familiar face to many who have participated in the Wheat Quality Council (WQC) Hard Red Winter Wheat Tour and Hard Spring Wheat Tour over the years, took the reins of the organization from the incomparable Ben Handcock at the conclusion of the WQC annual meeting this week in Kansas City, MO. Everyone […]
Central and Southern Plains HRW is Generally Dry and Vulnerable to Frost Damage
By Stephanie Bryant-Erdmann, USW Market Analyst USDA reported state planted area statistics for hard red winter (HRW), soft red winter (SRW) and soft white (SW) winter wheat in its Jan. 12 Winter Wheat and Canola Seeding Report. At this week’s Wheat Quality Council and Plains Grains Inc. board meetings in Kansas City, MO, however, HRW […]
Winter Weather and Strong U.S. Grain Demand Add Up to Unusual Port Delays
By Stephanie Bryant-Erdmann, USW Market Analyst The sharp inverse in export basis between March delivery and April delivery for U.S. wheat at both Gulf and Pacific Northwest (PNW) ports indicates that exporters have faced logistical challenges during a brutally cold and snowy winter. It also provides a savings opportunity for those customers who can wait […]
International Grains Council Sees a Smaller 2017/18 Wheat Harvest
By Stephanie Bryant-Erdmann, USW Market Analyst USDA will issue its first 2017/18 world wheat supply and demand estimates in May, but on Jan. 19 the International Grains Council (IGC) provided an early look ahead at the next marketing year. IGC pegged 2017/18 world wheat production at 735 million metric tons (MMT), down 2 percent from […]