US wheat area for 2018 to hit all-time low, says IGC.

International Grains Council trimmed hopes for world wheat area for 2018 before most of it has even been planted, citing weakened prospects for the US– where area will hit an all-time low. The intergovernmental group, updating its wheat outlook for 2018, said that area was, on a harvested basis, projected to be fractionally lower year on year. The forecast contrasted with an estimate last month that a modest area expansion is anticipated, encouraged by a rise in prices from year-ago levels, although with the grain appeal curbed by returns which “are still unattractive for many producers. While details on the IGC forecasts are scant, one signal change was a weakened forecast for area expectations in the US, where weather setbacks to plantings have only diminished the crop’s appeal. US sowings this year of 46 MHa were the lowest on USDA data going back to 1919, with harvested area of 37.6 MHa the smallest since 1890.