April 19, 2007

French wheat ending stocks to stabilise with larger 2007/08 crop

French wheat ending stocks will stop their decline if the 2007/08 crop continues to progress well, according to the French state grains board L'Office National Interprofessionnel des Grandes Cultures (ONIGC) Wednesday (Apr 18).

However, carryout will still be close to in 2006/07, which is forecast to be down 26 percent from 2005/06, said Bruno Hot, managing director of ONIGC.

French farmers seeded the 2007/08 wheat crop in autumn of 2006 for harvest this summer. Last season, late summer heat trimmed output so this month's above average temperature has alarmed some traders that the same could happen again.

However, Hot said that there is no ground for concern as French wheat fields are in satisfactory condition.

Still, Hot warned that a frost was still possible in early May and that a cold snap could harm plants, which are in advanced development after this year's mild winter.

In an effort to aid domestic truck transport, Hot said ONIGC will approach the government so that it allows all trucks carrying grain to weigh up to 44 tonnes from 40 tonnes. Currently, only trucks transporting grain to and from French ports can weigh up to 44 tonnes as a set distance from the port.