June 7, 2007

China wheat output to rise in 2007 

China's winter wheat production is forecast to rise by 0.3 percent to 99.6 million tonnes in 2007, the China National Grain and Oils Information Centre (CNGOIC) said, revising its earlier forecast that output would show a decline.

In its monthly report released on Wednesday, the centre raised its estimate for the wheat harvest by 3.2 million tonnes to reflect expanded acerage planted with high-quality wheat.

Although last year's quality was better, larger areas of high-quality wheat and higher yields should bring output higher, said an analyst at the think-tank.

The official Xinhua news agency reported yields per unit in the central province of Anhui rose 3 percent this year after 61 percent of the planted area was sown with high-quality wheat.

China's major wheat areas had been hit by drought earlier, and now the harvesting season has met with rain.

Rapeseed output was unchanged at 12 million tonnes. A 21-percent decline in production had helped push rapeseed oil prices to historic highs last week.

2007 corn, rice and soy output was also unchanged from previous estimates.

Chinese farmers are planting corn and soy and harvesting winter wheat and rapeseed this month.