U.S., Australia Will Fill Wheat-Export Gap, IGC Says (Correct)

The U.S. and Australia are expected to boost wheat exports in the 2010-11 season to fill a gap left by lower shipments from Russia, where drought has damaged the crop, the International Grains Council said.

The U.S., the biggest wheat exporter, will ship an estimated 28.5 million metric tons in the season ending next June, up 24 percent from 23 million tons a year earlier and 4.4 million tons more than forecast last month, the London-based council said in a monthly report.

The grains council forecasts Russia will export 12.8 million tons of wheat, down from 18.3 million tons in 2009-10. Russian wheat exports may fall to 9.5 million tons as drought causes a local shortage, the Institute for Agricultural Market Studies said.

“This month’s sharply lower crop expectations in Kazakhstan, Russia and Ukraine are reflected in reduced export forecasts, offset by a major increase in U.S. exports, in particular,” the council said.

Kazakhstan is expected to ship 7 million tons of wheat in 2010-11, down from 7.8 million tons a year earlier, and Ukraine’s wheat exports are forecast to slip to 6.8 million tons from 9.3 million tons, the council said.

Australia is forecast to boost wheat exports to 15 million tons from 14 million tons, the report said.

Egypt will continue to be the biggest wheat importer, buying an estimated 9 million tons in world markets in 2010-11, 500,000 tons more than expected last month and down from 9.6 million tons a year earlier, according to the report.

Brazil is forecast to buy 6.5 million tons of wheat, up from 6 million tons in 2009-10, the council said.

To contact the reporter on this story: Rudy Ruitenberg in Paris at rruitenberg@bloomberg.net.

• Tweet
• More
  • Business Exchange
  • Buzz up!
  • Digg
• Print
• Email