IGC Predicts Record Soybean, Rice Output; Grains Stocks at Nine-Year Low

MUMBAI, June 17 (Commoditiescontrol): At its annual meeting in London, the International Grains Council (IGC) discussed its most recent global crop forecast for the marketing year 2023-24, predicting record soybean and rice output but a drop in total grains ending stocks to a nine-year low.

The IGC anticipates that larger corn and sorghum outturns will more than offset the reduced wheat and barley harvests. It expects a global grain production expansion of 40 million tonnes year-on-year to reach 2.294 billion tonnes. Yet, the increased uptake across food, feed, and industrial sectors will cause consumption to rise by 2% year-on-year, from 2.254 billion tonnes to 2.302 billion. This surge in consumption will further tighten ending stocks. Grain trading is expected to slow down in 2023-24, reaching 408 million tonnes, a slight decrease from the previous year's 411 million. This is attributed to anticipated smaller wheat flows, as wheat output is expected to decline by 20 million tonnes to 783 million. Consequently, trade is projected to drop by 6 million tonnes to 194 million. The IGC also forecasts an unprecedented increase in global soybean production by 9% year-on-year, hitting a record of 403 million tonnes in 2023-24. This growth is primarily driven by the demand for soy products, leading to fresh consumption highs and expected inventory build-ups, including gains in key exporting nations. Even though the growth rate may moderate, global import demand is anticipated to peak at 173 million tonnes. In other oilseeds, the IGC predicts another above-average global rapeseed/canola crop and a potential recovery in sunflower seed output. Meanwhile, world rice production is projected to increase by 2% year-on-year, reaching a record of 521 million tonnes in 2023-24, thanks to expected acreage gains and improved yields in Asia. The IGC also predicts modest increases in uptake and stocks, with trade expected to rise slightly in 2024 due to increased demand from African importers.

(By Commoditiescontrol Bureau; +91-9820130172)