There are changes in the global grain market. In recent years, the volume of wheat grown has increased significantly. The same trend will continue in the ago season 2019 and 2020. According to experts of the research company AgResource (USA), the global wheat harvest will increase by 9% compared with the previous season.
How does the world’s wheat crop affect the market
According to analysts, 2019-2020 will be a record for the industry. It is expected that 770 million tons of wheat will be harvested. Such growth is largely associated with the development of the agrarian market in several European countries and Russia. In addition, weather conditions allow you to harvest a good harvest.
An increase in the volume of cultivated culture will lead to changes in the price ratio. The cost of a ton of wheat on the world market will drop to a mark of 280-285 dollars. It is predicted that this will happen soon.
Turkey can become one of the leaders in the number of harvested grain. The country has optimal climatic conditions without drastic changes that are favorable for wheat growth. Last season, according to the relevant ministry, 21.5 million tons of crops were harvested, of which 20.5 million tons were spent on domestic consumption.
Turkey averages 4 million tons of wheat annually. She goes on making flour of the highest grade, bulgur, various types of cookies, which are then exported. Pasta made from durum wheat and semolina is also delivered to other countries.
For 6 years, Turkey has been a leader among world exporters of flour. Last year, it sold about 3.5 million tons of flour to the external market, which is about a third of the world’s wheat exports.
Changes in the world’s wheat crop consumption
In general, in the world, there is an increase in the consumption of calories by the population. The highest figure for 10 years is registered in China. In the state, the amount of calories consumed has increased. If 15 years ago he was 2100 kcal per day, now it is 3100 kcal daily. In Western countries, on average, people consume 3,400 kcal/day.
Beyond China, figures rose in South Asia. Daily calories in India increased from 1900 kcal to 2400-2500 kcal. A similar situation is observed in its neighbors – Bangladesh and Pakistan. The trend in this region is associated with the economic growth of states, which leads to an increase in consumption and the development of farm production.
Experts predict that in 2050 the population of the planet will be 9 billion. In this regard, there is an acute issue of providing agricultural products to consumers and effective management of this industry. To introduce the appropriate changes should be now since after 2045-2055 it will not be possible to increase the area of farmland.