Market News & Headlines >> U.S. Winter Wheat Crop Seen Up Slightly
U.S. winter wheat production for 2016 is expected to come in slightly larger than a year earlier when USDA releases its first survey estimate of the new crop on Tuesday morning, with improved yields seen offsetting a drop in seeded area.
Trade estimates of all-winter wheat production average 1.384 billion bushels in a range from 1.220-1.572 billion compared with USDA’s 2015 crop of 1.370 billion bushels. Estimates of the HRW wheat crop, which makes up the majority of winter wheat production average 818 million bushels slightly below the 2015 production of 827 million bushels, in a range from 678-978 million.
Pre-report expectations for 2016 SRW wheat production average 364 million bushels in a range from 340-399 million versus USDA’s 2015 crop estimate of 359 million bushels. Expectations for white winter wheat production average 200 million bushels in a range from 180-223 million against USDA’s 2015 crop estimate of 184 million.
Despite the expected small rise in winter wheat production, USDA is expected to peg U.S. all-wheat production 3.5% below a year earlier due to lower spring wheat output. Trade estimates of U.S. all-wheat production for 2016 average 1.981 billion bushels in a range from 1.825-2.219 billion compared with last year’s USDA estimated production of 2.052 billion bushels. The all-wheat estimate implies a 12.5% drop in spring wheat production this year.