U.S. wheat production in the season that began on June 1 will be smaller than the government estimated last month because of reduced prospects for the winter crop, the Department of Agriculture said.
Output will total 1.942 billion bushels, according to the USDA, compared with its estimate of 1.963 billion last month. Analysts surveyed by Bloomberg expected total production of 1.959 billion. The U.S. is the world’s largest exporter.
Domestic inventories on May 31, 2015, before the start of next year’s harvest, will be 574 million bushels, up from the 540 million forecast last month, the USDA said. Analysts surveyed by Bloomberg expected 547 million. Inventories in the year that ended May 31 totaled 593 million.
World inventories by the end of May will reach 188.6 million metric tons, the agency said. That compares to last month’s estimate of 187.4 million.