Unfavourable conditions in Queensland and New South Wales have resulted in Australia’s crop forecaster cutting its projection.
ABARES cut its forecast for the 2017 wheat crop to 21.6 million tonnes, down 2.5 million tonnes from the June estimate and 38 per cent below last year’s record harvest.
Adverse conditions in Queensland took a toll on winter production, ABARES said. Unfavourable weather in late autumn and winter made it difficult for the establishment and development of crops. Declines were offset by favourable weather in Victoria, South Australia and Western Australia’s southern cropping regions.
The USDA also released its monthly world supply and demand estimates last week, confirming an abundance of global grain supplies despite the poor crop through much of Australia.