The Cereal Supply and Demand Brief released by FAO in June shows the outlook for the global cereal supply in the 2014/15 marketing season has improved considerably since the previous report in May. FAO’s monthly update on the world cereal market, puts world cereal production in 2014 at nearly 2 480 million tonnes (including rice in milled terms), almost 1 percent (21.5 million tonnes) higher than was reported in May, though still 1.4 percent down from 2013.
Global production of coarse grains stands at 1,274 million tonnes, 18.6 million tonnes higher than reported in May, with most of the upward adjustment reflecting improved outlook for maize crops in the United States and bigger than earlier anticipated maize harvests in Argentina and Brazil.
World wheat production in 2014 is forecast at nearly 703 million tonnes, up marginally from the May forecast, though down from the previous year. Rice production in 2014 is expected to reach about 503 million tonnes (milled basis), 1.9 million more than foreseen last month, and 1.2 percent more than in 2013.
The forecast for world cereal stocks by the close of crop seasons ending in 2015 has been raised by almost 10 million tonnes since May, to 576 million tonnes. Based on the latest forecast, the global cereal stocks-to-use ratio could reach a 10-year high of 23.1 percent, up marginally from 2013/14.
