06/15/07 Wheat prices to remain strong

The demand for wheat worldwide should mean high prices for American farmers. BANGE "We project that at the end of 2007-08 on a world level world stocks will be down to the lowest in about 30 years. Therefore we are seeing strong prices in the US. We're looking at a price range of somewhere between $4.50 and 5.10 for the year." World Outlook Board chairman Gerry Bange says weather is a big factor in the wheat forecast and that's the reason some of the production numbers are down. BANGE "If you look at the world wheat production for the 2007-08 year we're looking at about 610 million tons for the year, that's down about 6.7 million tons from our previous forecast and basically reflects about a seven million ton reduction in Ukraine and Russia." Bange says the Ukraine has been hit by the hottest, driest weather in 30 years and during the past month some of that weather has affected Russian wheat fields. So what does all of this mean to Idaho grain producers? Bange says a strong export market for the current crop year is in the offing. BANGE "We're now looking at 2007-08 exports at an even one billion bushels. That's up 25 million bushels from out previous forecast and up about ten percent from the previous year." Idaho ranks ninth among all states in wheat exports which totaled more than 207 million dollars in 2005, the last year with complete numbers. Today's Idaho Ag News Bill Scott