LOS ANGELES, Feb. 14, 2022 (GLOBE NEWSWIRE) -- In 2022, wheat price increases will be contained by stable global production and falling demand for feed grains in the U.S. and the EU, a new report published by IndexBox states. In 2021, the average export price for U.S. Soft Red Winter Wheat delivered at the U.S. Gulf port rose by 24% y/y to $282 per tonne. This year, the soft wheat prices are forecast to stabilize at the previous year’s level.
According to IndexBox estimates based on USDA and World Bank data, global wheat production is projected to keep at 777M tonnes in 2022, remaining nearly unchanged compared to the previous year’s figures. Higher outputs are expected in Argentina, Australia, Brazil, China, Egypt, the EU, India, Pakistan, Ukraine, and the U.K., while production in Russia, Canada, Kazakhstan, and Turkey is to decline. Harvests in Iran, Iraq and Syria are to see a deep drop due to a drought, which will force these countries to ramp up wheat imports sharply.
Global Wheat Exports
Global wheat exports were estimated at 199M tonnes in 2020, increasing by 13% compared with the previous year's figure. In value terms, supplies rose markedly to $45.3B.
The shipments of the five major wheat exporters, namely Russia, the U.S., Canada, France and Ukraine, represented more than half of global supplies. Australia (10M tonnes) ranks next in terms of total exports with a 5.2% share, followed by Argentina (5.1%) and Germany (4.7%). The following exporters - Kazakhstan (5.4M tonnes), Poland (4.7M tonnes), Romania (4.3M tonnes), Lithuania (4M tonnes) and Bulgaria (3.2M tonnes) - together made up 11% of the total volume.
In value terms, Russia ($7.9B), the U.S. ($6.3B) and Canada ($6.3B) constituted the countries with the highest levels of exports in 2020, with a combined 45% share of global supplies. These countries were followed by France, Ukraine, Australia, Germany, Argentina, Kazakhstan, Poland, Romania, Lithuania and Bulgaria, which accounted for a further 44%.
Top Largest Wheat Importers
The purchases of the twelve major wheat importers, namely Indonesia, Turkey, Egypt, Nigeria, China, Italy, Algeria, the Philippines, Brazil, Bangladesh, Morocco and Japan, represented more than a third of the total volume. The Netherlands (4.3M tonnes) occupied a minor share of global imports.
In value terms, the largest wheat importing markets worldwide were Egypt ($2.7B), Indonesia ($2.6B) and Turkey ($2.3B), together accounting for 16% of international purchases. These countries were followed by China, Nigeria, Italy, Algeria, the Philippines, Japan, Brazil, Morocco, Bangladesh and the Netherlands, which accounted for a further 34%.
About IndexBox
IndexBox is a market research firm developing an AI-driven market intelligence platform that helps business analysts find actionable insights and make data-driven decisions. The platform provides data on consumption, production, trade, and prices for more than 10K+ different products across 200 countries.
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Companies Mentioned in the Report
Viterra, UG Rusi LLC, Cargill, Bunge, Dreyfus, Wudeli Flour Mill Group, Ardent Mills, Archer Daniels Midland Company, General Mills, Allied Pinnacle Pty Limited, Manildra Milling Pvt Ltd, Acarsan Flour, KORFEZ Flour Mills, George Weston Foods Limited, Hodgson Mill, Mtk Ltd, Vneshtorg-Rus LLC, Vostok-Snab, Diet Prom LLC, TPK Varna, Adascan Grain Corporation, ADM Agri-Industries Company, Agricom International Inc., Agrocorp Processing Ltd., Agri-Tel Grain Limited, Besco Grain Ltd.
Sources
World - Wheat - Market Analysis, Forecast, Size, Trends and Insights
U.S. - Wheat - Market Analysis, Forecast, Size, Trends and Insights
World - Cereals - Market Analysis, Forecast, Size, Trends and Insights
World - Grain - Market Analysis, Forecast, Size, Trends and Insights
Russia - Wheat - Market Analysis, Forecast, Size, Trends and Insights
