WASHINGTON Jan 12 U.S. farmers slashed their
winter wheat plantings to the lowest in more than a century as
supplies of the grain ballooned to a 29-year high, the U.S.
Agriculture Department said on Thursday.
USDA also dialed back its harvest estimates for the U.S.
soybean and corn crops but 2016/17 marketing year production of
both commodities remained at record levels. Corn and soybean
supplies rose to record levels following the bumper harvest
during the fall.
U.S. winter wheat seedings fell to 32.383 million from
36.137 million a year earlier. That marked the smallest winter
wheat acreage since 29.196 million in 1909 and the second lowest
Analysts, on average, had been expecting winter wheat
plantings of 34.139 million, according to a Reuters poll.
Falling wheat prices have caused farmers in key production
areas such as the Great Plains to alter their traditional
acreage splits. Chicago Board of Trade wheat futures have fallen
for four years in a row.
U.S. wheat stocks as of Dec. 1 rose to 2.073 billion bushels
from 1.746 billion a year earlier. That marked the highest
December wheat supply base since 1987, when wheat stocks stood
at 2.501 billion bushels.
Corn stocks as of Dec. 1 were 12.384 billion bushels while
soybean stocks were 2.895 billion bushels.
USDA lowered its U.S. corn production estimate for the
2016/17 marketing year to 15.148 billion bushels from its
previous estimate of 15.226 billion bushels. Average corn yields
were trimmed to 174.6 bushels from 175.3 bushels per acre.
For soybeans, domestic production was pegged at 4.307
billion bushels, down from the government's previous estimate of
4.361 billion bushels, with average yields lowered to 52.1
bushels per acre from 52.5 bushels per acre.
The production cuts caused USDA to drop its U.S. ending
stocks outlook to 2.355 billion bushels for corn and 420 million
bushels for soybeans.
USDA also lowered its outlook for world corn and soybean
ending stocks despite forecasts for big South American crops.
It trimmed its global soybean end stocks view to 82.32
million tonnes from 82.85 million tonnes while raising its
Brazil harvest forecast by 2 million tonnes to 104 million
tonnes. The Argentine soybean harvest outlook was unchanged at
57 million tonnes.
World corn ending stocks for 2016/17 were lowered to 220.98
million tonnes from 222.25 million tonnes. Global wheat ending
stocks were pegged at 253.29 million tonnes, up from the
December estimate of 252.14 million tonnes.
(Reporting by Mark Weinraub; Editing by Andrea Ricci)