March 4, 2016

Ukraine's wheat harvest for 2016/17 will decline to 19-20 million tonnes, a drop of about 20% from a year ago, Reuters reported.

Dry weather has significantly impacted plantings and upset yield potential, Viktor Korobko, director general of Ukraine-based broker Veles-Agro, said.

Half of the country's grain region were affected by a severe drought in summer and autumn, brining sowings for winter grain to a halt. In addition, rapeseed could see a lower output, while the warm weather threatens the development of corn.

Ukraine's rapeseed harvest could hence reach one million tonnes, compared to 1.6 million tonnes a year ago.

"We have had some rains which is positive for corn planting but the weather is expected to get warmer in two weeks," Korobko added. "If it gets very warm, it will be a problem."

Ukraine is expected to produce around 25 million tonnes of wheat in the year to June 2016.

- Reuters