Wheat

[beaverdam]

Huge turn in wheat today, down 6-7 in the morning, now up 15-19.

Is it just weather news?

[Guest]

Huge turn in wheat today, down 6-7 in the morning, now up 15-19.

Is it just weather news?

western producer will have to run an article on the glut of wheat , quickly!

[bfl2008]

Highs for each year are typically made late May to first week of July. With the corn issue in the states I think there is still possible increases in wheat but the fact that its running into resistance is concerning, always a good idea to sell into resistance (provided it is a profitable price). News out of Russia is the crop is coming along nicely, wouldn't bank on that providing support.

[Guest]

Highs for each year are typically made late May to first week of July. With the corn issue in the states I think there is still possible increases in wheat but the fact that its running into resistance is concerning, always a good idea to sell into resistance (provided it is a profitable price). News out of Russia is the crop is coming along nicely, wouldn't bank on that providing support.

But not so good in canada , usa, austrailia, india , etc
Russia cant feed the whole world
Surely they dont think were that stupid ????

[Klause]

On FreYr we are working with some pretty smart soil and plant people.

At the current rate of moisture depletion... Cereals won't yield very much in a big swath of the prairies. It will be a tiny crop.



It's not just Russia to worry about.


Argentina's wheat prospects continue to grow.

s if they were the rains that give good auguries for planting, the start of the International Wheat Congress (Trigar) had a deluge of data that account for the exponential turn that is experiencing the cereal in the country.

In the panel "The commercial offer of Argentine wheat: production, quality and exportable balance", the chief economist of the Buenos Aires Grain Exchange, AgustÃn Tejeda, summed it up in a simple way: "From 2000 to 2013, wheat lost hectares at a rate of 3.7 percent per year and we fell to volumes similar to those of the 1980s. In contrast, since 2015 the area increased to an average of 10.9 percent. In four years we recovered the lost surface by 15 ".

The picture presented by Emilce Terré, from the Rosario Stock Exchange, was equally eloquent: in the 2012/13 and 2013/14 campaigns, national wheat production reached below 10 million tons and exports barely reached a floor of between 1.5 and three million tons.

In the last season, the harvest was around 19 million tons, with 12 million that will be sent abroad.

For which it is started, the Rosario entity projects a new record: 21.2 million tons of production and 13.7 million of exports.

Challenges

"Argentine wheat came back to the world in an impressive way," remarked Trigar coordinator Leandro Pierbattisti in this context. But he warned: "This world is different, with new originators and requirements of international buyers increasingly stronger."

In a similar sense, the president of the Chamber of the Oil Industry and the Cereal Exporters Center (Ciara-CEC), Gustavo IdÃgoras, spoke. "We went from looking at how much wheat we needed for the domestic market, to how much the world requires. And the international agenda is different from the local one, with many challenges that we are not necessarily prepared for, "admitted IdÃgoras. For example, he remarked: "We can not be world leaders if we do not give guarantees of innocuousness".

On the risk of having a volume of production that eventually can not be placed on the world market, IdÃgoras said that Argentina, even reaching an exportable balance of 20 million tons, will have customers interested in the cereal.

"The country is still recovering the market share it lost in previous years. In spite of everything, it is still recognized as a wheat origin. And it has comparative advantages in terms of logistics, for example, to move Australia as a provider in North Africa, "he said.

A key factor, in this context, is the recovery and opening of markets. In 2013, Brazil represented 97 percent of exports and only three percent went to Africa. Last year, Brazil represented 62 percent; Africa, 25 percent; and Asia, 13 percent.

Fattening the protein

According to the head of the Agro-economic Information Department of the Grain Exchange of Córdoba, Silvina Fiante, improving quality could be another contribution in this expansion path.

He said that both the levels of protein and wet gluten and hectoliter weight recorded in the last 20 years are above world standards, but that there is room to raise them even more.

"This would allow us to access more demanding markets such as Sudan, South Africa, Kenya, Jordan, the United Arab Emirates and other nations of the Persian Gulf area," Fiant said.

But to achieve this, the wheat chain should move forward on a topic that has been discussed for years without finding a solution: segregation, as a bridge to establish a commercial regime that really rewards producers who achieve superior quality.

For IdÃgoras, segregation will only be possible within a framework of clear long-term rules. "The road to encourage is that of predictability. We need 10 years of favorable policies and a tax scheme that does not punish exports, "he said.