EU Wheat-Yield Forecast Raised by MARS on Better Weather

Wheat, barley and corn yields in the European Union will be higher than predicted last month on favorable growing conditions across the region, the 28-nation bloc’s crop-forecasting unit wrote.

EU soft-wheat yields are seen rising to 5.69 metric tons per hectare (2.47 acres) from 5.42 tons per hectare in 2012, the EU’s Monitoring Agricultural Resources unit wrote in an online report. The outlook was raised from 5.55 tons previously.

The EU is the world’s biggest wheat grower with about 20 percent of global output. Milling wheat futures in Paris have slumped 22 percent this year on expectations for bigger crops in the EU as well as in Black Sea region producers Ukraine and Russia.

“After the heavy rains of the end of May and beginning of June, Europe experienced rather beneficial conditions for crop growth,” MARS wrote. “The yield forecast for soft wheat was raised for all EU-28 countries with the exception of Italy, Bulgaria, Finland and Greece.”

EU barley yields are now forecast to climb to 4.78 tons per hectare from 4.38 tons per hectare last year, and up from a previous outlook for farmers to harvest 4.68 tons per hectare.

Corn yields are seen at 7.22 tons per hectare from 6.08 tons in 2012, when Black Sea region producers suffered from a heatwave that harmed crops. The outlook was raised from 7.13 tons per hectare in June.

In France, the EU’s biggest grower of wheat, barley and corn, crop conditions at the start of June were optimal, after a cold and rainy spring, MARS wrote. Germany had good conditions for filling of winter grains, the researcher said.

In Ukraine, warm temperatures shortened crop development in the east and south, hurting the outlook for wheat and barley yields, according to MARS. European Russia is expected to have above-average winter-wheat yields, it said.

EU rapeseed yields are predicted to fall to 3.08 tons per hectare from 3.11 tons last year, and compared with last month’s outlook for 3.02 tons per hectare.

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

To contact the editor responsible for this story: Claudia Carpenter at ccarpenter2@bloomberg.net

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