March 8, 2013

Australia anticipates slight decline in wheat price

Due to the large harvest expected, Australia's wheat price is forecast to be lower in the crop year 2013-14, but the drop will not be too big as the shrunken wheat stocks first need to be replenished.

According to a report by Australian Department of Agriculture, Fisheries and Forestry (ABARES), Australia will produce 13% more wheat this season. ABARES expects that even with the increase the price will stay above the average of the last five years.

The demand for wheat increases every year.