June 7, 2012

Russia's 2012 wheat output seen down to 54 million tonnes

Citing spring dryness in key producing regions, the USDA said Wednesday (June 6) in its Moscow attaché that Russia's wheat output this year is forecast to drop by two million tonnes on the year to 54 million tonnes.

"Poor overwintering conditions in key Southern growing areas as well as dry and hot spring weather in the Volga Valley and Central growing areas," are responsible for reduced wheat output in 2012, said the USDA.

Due to lower anticipated output this year, grain export levels out of Russia are seen lower at 19 million tonnes in the 2012-13 crop year, down from a record 27.1 million tonnes achieved last year, said the USDA.

The 19 million tonnes of exports is comprised of 16 million tonnes of wheat, two million tonnes of barley, and 0.5 million tonnes of corn.

"While this time last year grain stocks in regions close to export ports were high as a result of the grain export ban, currently stocks in these regions are low as a result of the very strong export campaign," added the USDA.

Meanwhile, Russian corn production this year is forecast to hit 6.5 million tonnes, down slightly from last year's levels.