Report Highlights:
China’s wheat production in MY13/14 is revised to 118 million tons, a two percent decrease from the previous year, due to yield losses from adverse weather. MY13/14 wheat imports are forecast at 4 million tons, an increase of 1 million tons from MY12/13 due to competitive international prices. In
MY13/14, corn acreage is estimated to rise two percent from the previous year supporting a production forecast estimated at 210 million tons. Strong domestic consumption will drive MY13/14 corn imports to 5 million tons. Rice imports in MY13/14 are estimated at 3 million tons, due to its price
competitiveness over domestic rice, which is supported by a government floor price.
Executive Summary:
Post’s estimate for China’s wheat production in marketing year MY13/14 is revised to 118 million tons,a two percent decrease from the previous year, due to yield losses from adverse weather . MY13/14 wheat imports are forecast at 4 million tons, an increase of 1 million tons from MY12/13 as
international prices are price competitive with local wheat in feed and flour mills. In MY13/14, corn acreage is estimated to rise two percent from the previous year as farmers favor corn planting over soybeans, tubers or other minor grains. Corn production is forecast at 210 million tons, assuming a better than average yield. MY13/14 corn imports are forecast at 5 million tons as domestic consumption continues to outpace production. Rice imports in MY13/14 are estimated at 3 million tons, due to its price competitiveness over domestic rice, which is supported by a government floor
price.
During MY13/14, the government is likely to increase imports of such grains to replenish state reserves or meet demand by private sector companies.
