Australia estimates record wheat harvest

PARIS, Nov 29 (Reuters) – Australian farmers are on course to harvest a record 34.4 million tonnes of wheat this season, the country’s chief commodity forecaster said, as it raised its official estimate for the 2021/22 crop.

The expected crop would be 3 percent above a previous record volume in 2020/21, the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) said.

ABARES had in September forecast the new crop would be the second-largest on record after 2020/21.

The increased production outlook underscores expectations of bumper yields in the Australian harvest, although ABARES also echoed market concerns about rain damage to crops.

“Heavy rainfall in November in eastern states and South Australia has delayed crop harvests and is likely to result in quality downgrades of crops in some areas,” it said in a report.

“Early receivals in New South Wales have pointed to lower quality wheat in some regions but good oil content of canola crops.”

Canola production was also pegged at a record, with ABARES forecasting 5.7 million tonnes, 27 percent above a previous high last season.

Barley production was projected at 13.3 million tonnes, the second-largest on record.

Total winter crop production was forecast at a record 58.4 million tonnes.