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China's drop in wheat output eyed

06/15/2012 @ 7:08am

China's wheat output this year will likely total 118 million metric tons, up 0.07% from 2011 but down from a forecast of 120.3 million tons in May, the state-backed China National Grain and Oils Information Center said Friday.

Analysts said last week that excessive rain during the crop flowering period and diseases had damaged some crops in major producing areas.

Beijing Oriental Agri-business Consultant Co., an influential private research agency, said Tuesday that output of winter wheat, which accounts for more than 90% of China's wheat production, would fall 1.63% from last year due to excessive rainfall and diseases.

Its forecast was more pessimistic than that of the Ministry of Agriculture, which said last week that 2012 winter wheat output is expected to rise for a ninth consecutive year to a record. The ministry didn't provide a figure.

In 2011, wheat output totaled 117.92 million tons, an increase of 2.4% from 2010, data from the National Bureau of Statistics showed. The bureau is scheduled to release its 2012 winter wheat output figures in early July.

The CNGOIC maintained its output forecasts for rice, corn and soybeans in its report on 2012 grain production.

2012 Agricultural Output and Acreage Estimates

Output       Change       Acreage       Change 
             (Mln Tons)    On Year      (Mln Ha)      On Year 
  Corn        197.5        +3%          34.3          +2.6% 
  Wheat       118          +0.07%       24.36         +0.69% 
  Rice        205          +2.1%        30.5          +1.67% 
  Soybeans    13           -7.14%       7.15          -6.54% 
  Rapeseed    12.8         -4.66%       7.05          -2.08%

Write to Zhoudong Shangguan at zhoudong.shangguan@dowjones.com

(END) Dow Jones Newswires

June 14, 2012 22:51 ET (02:51 GMT)

DJ UPDATE: CNGOIC Lowers China 2012 Wheat Output Forecast to 118 Mln Tons->copyright

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