USDA forecasts record average wheat price for 2011/12
Farm and Ranch May 12, 2011 In a report Wednesday the USDA said the 2011/12 outlook for U.S. wheat is for reduced supplies with lower carry in and production than in 2010/11. Beginning stocks are down 14 percent. All wheat production this year is projected at 2.043 billion bushels down seven percent from 2010/11. USDA economist Larry Salathe says that should mean better wheat prices in 2011/12. Salathe: “For the current crop year we are forecasting a wheat price of $5.65 a bushel. Next year we are forecasting an average price in the range of $6.80 to $8.20. That of course would be a record.” USDA’s first actual estimate of U.S. winter wheat production based on field surveys pegged the crop at 1.42 billion bushels, down four percent from last year. The estimate for white winter wheat is 235 million bushels, up three percent, most of which is soft white. Hard red winter production is forecast to drop 25 percent from 2010 while the soft red winter wheat crop could be up 80 percent over last year. The estimate for winter wheat yields in the Pacific Northwest are mixed compared to last year. Idaho’s crop is forecast at 79 bushels an acre, down from 82 in 2010. Washington at 65 compared to 69 bushels last year. Winter wheat yields in Oregon are forecast to be up from 67 bushels an acres in 2010 to 69 bushels this year. Increased winter wheat acreage however, means a larger crop than last year. I’m Bob Hoff and that’s the Northwest Farm and Ranch Report on Northwest Aginfo Net.
