The Australian wheat crop is coming off a big year, with 33.3mmt produced. After such a bumper year, it’s not surprising to see a fall in production.
This year production is forecast by ABARES at 27.8mmt; this is a large fall, but in reality, it is a production figure which remains well above the decade average of 24.5mmt.
Acreage is only up a smidgen (0.55%), but remains very strong compared to most of the past decade.
National yield is forecast at 2.13mt/ha. Down on last years 2.57mt/ha and the record 2016 at 2.61mt/ha.
Important to note that there is a lot of water to go under the bridge between now and harvest. The reality, is that last year’s crop, and the good prospects are impacting on price.