Oklahoma State University Extension Grains Market Analyst Dr. Kim Anderson recently released his latest analysis on the current outlook of the wheat market in Oklahoma. He shares his findings with Radio Oklahoma Network below and offers strategy advice for producers marketing their grain.
“World wheat ending stocks are projected to be a record 9.3 billion bushels. For wheat prices to be above $5, world wheat ending stocks need to be less than eight billion bushels. This implies that 2017/18 world wheat marketing year production needs to be less than 25 billion bushels compared to a projected 27.3 billion bushels in 2016/17.
“A good example of the world’s excess of wheat is Oklahoma’s wheat in storage. Oklahoma grain handlers may be storing 10 million bushels of wheat in temporary bunkers and bags. On June 1, 2015, the USDA estimated Oklahoma off-farm stored wheat to be about 40 million bushels. Oklahoma wheat production in 2015 was 98.8 million bushels. On June 1, 2016, the USDA estimated off-farm stored wheat to be 70 million bushels (a 30-million-bushel increase).
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