Wheat

India’s wheat production could fall in 2019 from record output this year as lower moisture levels and higher temperatures in key growing regions are threatening yields of the winter-sown crop. A drop in output could lift […]

Farmers in the country had sown wheat across 5.2 mln ha, 4.9% lower from the same period a year ago. However, acreage under the key rabi crop was lower than the five-year average of 8.5 mln […]

An official says the Iranian government needs no more wheat imports thanks to favorable crop harvest and procurement from local farmers at a time of diminishing grain stocks around the world. Largely self-sufficient in wheat a […]

Madhya Pradesh government will provide 750 rupees per 100 kg subsidy to farmers on purchase of certified wheat seed for sowing in 2018-19 (Jul-Jun) rabi season. Farmers may buy certified wheat seeds from cooperative societies mostly under Rashtriya Krishi Vikas Yojana and in some districts it is also given under the National Food Security Mission. Wheat grown in the state have high level of protein content than grown in Uttar Pradesh, Punjab and Haryana, among the major growers.

Poor rainfall and scanty water levels in reservoirs at major growing regions are likely to hit production of rabi crops this year. The country’s crucial southwest monsoon season ended with a deficit of 9%, missing the India Meteorological Department’s prediction by a huge margin. The country received 804.0 mm rainfall during the Jun-Sep monsoon season, against the normal weighted average of 887.5 mm. Poor rains lead to inadequate soil moisture, which is a must for sowing of rabi crops. Reservoir levels are also important for the irrigation-dependent rabi season that starts October. While the reservoir storage in most states is “healthy”, there is a shortage in Gujarat, West Bengal and Maharashtra due to poor rains. Deficient reservoirs raise some concern for the rabi crop because these three states together contribute 53% of the rabi production of foodgrains and oilseeds. However, the overall crop output may be higher as “kharif production estimates are healthy.

The Government Wednesday announced 6 per cent hike in support price of wheat at Rs 1,840 per quintal, a move that will give farmers an additional income of Rs 62,635 crore and help contain their simmering discontent over high input cost and low sales realisation. The decision comes within months of announcing higher price for Kharif crops, when the government fulfilled its promise of giving farmers 50 per cent more price than their cost of production. The Cabinet has approved a Rs 105 per quintal hike in wheat MSP to Rs 1,840 for 2018-19 season.

The government wants to declare the minimum support prices for key rabi crops at the onset of the season due to upcoming Assembly polls in several states. It has to be declared before the code of conduct comes into place.

Wheat futures are currently unchanged to 5 cents higher after posting 9 to 15 cent gains in most contracts, with MPLS the strongest in both cases. Russia’s ag safety watchdog apparently warned of a possible temporary suspension of 30 grain loading facilities for up to 90 days for phytosanitary issues. Importers had complained about poor quality in Russian shipments. NASS pegged the winter wheat planting at 43% complete, with the normal pace running 40%. The crop was 14% emerged, matching the average. Planting in the Southern Plains is ahead of the average, at 41% for KS and OK and 42% for TX. Taiwan purchased 110,000 MT of US wheat in their latest tender.

European wheat prices pared gains, pressured by a lack of demand for European supplies and reports of a record wheat harvest in Argentina. Benchmark December milling wheat on Paris-based Euronext closed 0.50 euro or 0.25 percent lower at 200.50 euros a tonne. Reached 202.75 euros in earlier trade. Argentina’s 2018/19 wheat harvest is expected to reach a record 19.7 million tonnes, up from 17.8 million tonnes last year.

Demand for French wheat has been shrinking, with port data showing a thin line-up aiming to France’s main client Algeria with nearly no exports to West Africa. French port silos are full so deliveries are being slowed down, although not halted, due to a lack of room.Silos are full in (the Atlantic port of) La Pallice and in Rouen and export prospects for October are thin or non-existent.

Wheat prices slipped by Rs 15 per quintal at the wholesale grains market due to reduced offtake by flour mills against adequate stocks position. However, other grains held steady in thin trade. Besides fall in demand from flour mills, sufficient stocks position on increased arrivals from growing regions mainly weighed on wheat prices.