Rising corn and wheat to boost overall grain output: IGC
Prompted by better prospects in South America, international corn production has surpassed a November forecast, according to the International Grains Council (IGC).
With a record harvest in the US and an optimistic outlook for Brazilian and Argentinean productions, corn futures have since slipped by 9.7% in Chicago for the past 12 months.
In addition, wheat futures have seen a dip of 4.4%.
IGC attributed the falling of world corn prices to strong international competition and abundant supplies.
The council also expects corn harvest to reach 991.9 million tonnes this season. The figure is a jump of 9.6 million tonnes over a previous forecast and a rise from the 990.7 million tonnes recorded during 2013-14,
The crop receives the largest adjustment of outlook in Argentina. For now the country's output stands at 29.5 million tonnes which is seven million tonnes more than in November.
Outlook for Brazil's corn is raised by two million tonnes to 77 million tonnes. In the US, corn forecast is slashed by 3.9 million tonnes to 361.1 million tonnes.
Meanwhile, this season's outlook for wheat output undergoes slight changes, with a forecast of 717 million tonnes compared to the 717.2c million tonnes expected in November. The figure is a rise from the 712.7 million tonnes recorded a year earlier.
Prospects for winter wheat in 2015-16 see the most promises in the Northern Hemisphere. World wheat output is "provisionally" expected to drop by 2% to 701 million tonnes next season.
For soybean, the global outlook had been lifted by four million tonnes to 312 million tonnes. At the close of the season, stockpiles may rise to 42 million tonnes from 31 million tonnes.
With the exception of rice, overall grain output is expected to progress to a record 2.002 billion tonnes from two billion tonnes in 2013-14.
Rising by more than 7% to 432 million tonnes, stockpiles may surmount to their highest since the mid-1980s, despite increased consumptions.