Global Wheat Stocks Still High
Wheat prices have been faring better than some others like corn, but can prices hold considering the current global fundamentals? I asked Idaho Wheat Commission Executive Director Casey Chumrau says the world still has a lot of wheat.
Chumrau… “The world has a lot of wheat. We've seen some scenes of shortages on the news in the last few months, but that really doesn't speak to how much wheat, and how many wheat stocks there are around the world. There's been, I think, seven of the last ten years where world production has outpaced consumption. And so there is a lot of wheat in the world, which of course, kind of depresses prices and affects us all the way down to the farm gate.”
But one advantage of Idaho and surrounding states are the various classes of wheat that can be grown in the western U.S.
Chumrau… “We grow five classes of wheat. I'm not sure that there's any other state that grows that many classes. So we have a quite diverse geography here in the state from North to South. And so we do all five different classes, both of winter and spring wheat.”
Chicago wheat prices did fall on Tuesday, down $0.07 ¼ to $5.08. As winter wheat is starting to head out in Idaho, producers will hope for better prices through the harvest season.