By Will Horner 
 

The International Grains Council raised its forecasts for global grain production in the 2020-21 on Thursday, thanks to stronger than expected wheat crops in Australia and the Black Sea region.

The intergovernmental body said in its monthly grains market report that it now expects grains harvests to total 2.216 billion metric tons, six million tons more than it had last forecast.

Larger than previously forecast wheat harvests in Australia, Russia and Kazakhstan drove the revision, the IGC said, while soybean and corn harvests were also revised slightly higher.

Wheat harvests are now expected to yield 773 million tons of the grain, up from 768 million in the IGC's January forecasts. Soybean harvests are expected at 360 million tons, up by 1 million tons, and corn forecasts are seen at 1.134 million tons, also 1 million tons higher than last month's forecast.

Forecast for consumption levels were also revised higher, meaning no change to the IGC's forecast for carryover stocks.

The IGC expects grain consumption to total 2.222 billion tons in the 2020-21 season, compared with forecasts of 2.216 million tons in its January report.

The IGC's forecasts mean it is expecting the 2020-21 season to produce a record amount of grain, 31 million tons more than in the previous season.

Write to Will Horner at william.horner@wsj.com

(END) Dow Jones Newswires

February 25, 2021 08:52 ET (13:52 GMT)

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