IGC raises wheat, coarse grain output forecasts

World coarse grain output is expected to jump to record levels this season as growers in Europe and the United States harvest big crops of maize, the International Grains Council (IGC) said on Thursday.
In its latest monthly report, the London-based body upped its forecast for world coarse grain production to an all-time high of 987.2 million tonnes, up from 962.7 million in September.
The harvest totalled 914.1 million tonnes last season, the IGC estimates show. It said global maize output would lead the way, with production rising from 623.1 million tonnes in 2003/04 to 685.9 million this season.
The IGC last month put world maize production at 663.0 million tonnes. "The forecast for global maize production has been raised by a further 23 million tonnes, mainly to reflect another substantial increase in the US crop figure, but also accommodating higher estimates for the European Union, Romania, China and the Commonwealth of Independent States (CIS)," the report said.
The United States will produce 295.0 million tonnes, the IGC said, while Europe will see a significantly larger crop than last year of 75.4 million. Expectations of larger wheat crops around the world but particularly in Europe and the United States saw the IGC up its output figure for wheat for a fifth consecutive time, from 614.7 million tonnes last month to 616.9 million, sharply higher than 554 million tonnes threshed in 2003/04.
"Higher-than-expected yields in Europe and the US prompted a further two million-tonne increase in the world production estimate to a record 617 million tonnes," the IGC said. However, it noted problems with this year's harvest.
"This year's extended northern hemisphere growing season and weather-delayed harvests have affected quality in some several countries, with some substantial downgrading of North American spring wheat, especially in Canada," the IGC said.
It left its estimate for global wheat consumption in 2004/05 unchanged on the month at 606 million tonnes, while use of coarse grain was pegged at 967 million against 942 million for the previous season.