Wheat Acreage Falls to 43.78M Amid Drought

Wheat acreage reports came in lower than expected in the recent USDA perspective plantings report. Crossroads Co Op regional manager Brian Irey says the number was surprising but likely more accurate than previous higher estimates.

“I think some of the earlier estimates that were, you know, a million and a half acres higher than that, were just off. - there was no good reason to plant wheat last fall. When you looked at the economics, it just didn't make sense. I think that they got honed in on that number. Pretty darn good. I'm surprised that they printed it. I really am.”

Wwheat stocks landed close to expectations, but the acreage site delivered the real surprise, coming in lower across every category with a marketing year entering its final quarter, there's little room left for major swings in wheat inventories of the 1.3 billion bushels on hand, the vast majority, about three quarters, is held by commercial elevators, leaving farmers with a relatively small share of remaining supply acreage, however, is where the story shifts us. Saves all wheat. An estimate of 43.78 million acres marks one of the smallest totals in modern history. Spring wheat and durum plantings could still adjust, but winter wheat area is expected to shrink further as drought tightens its grip on key regions with today's Aine on Agriculture report. I'm Lorrie Boyer for the Ag Information Network.