Overview
The following projections are not intended to be specific forecasts of supply and
demand, but rather a medium term view of the general development of the global
grains, rice and oilseeds markets in the period to 2018/19, taking into account a
number of broad assumptions. These include assumed trends in population
growth, prices, agriculture and trade policy, as well as prospects for the global
economy.
Total grains
World total grains (wheat and coarse grains) output is projected to rise to 2,064
million tons (m t) by 2018/19. Firm demand growth is also anticipated and, while
the absolute level of stocks is likely to rise, the ratio of stocks to use is projected
to fall slightly to 18% by the end of the projection period, from 20% forecast for
2013/14.
Assuming average weather conditions, output is expected to remain almost
unchanged in 2014/15 as average yields decline from the highs anticipated for
the current season, but area continues to expand to meet growing demand
against a backdrop of favourable prices. Beyond 2014/15, output is expected to
expand at an average of 1.6% p.a. While some area expansion is forecast,
particularly in the major exporters such as the CIS and Brazil, the increase is
largely driven by improving productivity. Average yields are expected to grow by
1.1% p.a. beyond 2014/15, compared to 0.6% for area.