01/22/08 Rationing tight wheat supplies

Farm and Ranch January 22, 2008 The most recent estimate by the USDA of white wheat ending stocks this coming May 31st is 27 million bushels. Tom Mick, CEO of the Washington Grain Alliance says he thought the stocks number would be even lower but even at that it's a very low number and causes him some concern. Mick: "I am a little concerned over the next two or three months that exporters may not be able to buy enough wheat to fill a cargo thus will there will be a bid out to the country. I hope that doesn't happen but I have heard people talk about that scenario." Mark Hausinger of CLD Pacific, and a member of the Washington Wheat Commission, told fellow commissioners at their recent meeting that exporters offered less of a quantity than Japan tendered for recently because it was not clear if the volume of wheat requested could be sourced from country elevators. He said it's almost getting scary. Because of tight supplies Hausinger also said PNW exporters are about down to just servicing their core customer base, countries like Japan, South Korea and Taiwan. Hausinger also pointed out that the 27 million bushels in carryout the USDA has for the end of the marketing year May 31st really has to last through June and July. He says it will be August before the pipeline starts getting filled up from the start of the 2008 white wheat harvest in the PNW. I'm Bob Hoff and that's the Northwest Farm and Ranch Report on the Northwest Ag Information Network.