Global Wheat Supplies Tighten as Exporter Crops Fall

Smaller exporter crops and lower global stocks could keep wheat markets sensitive to weather, trade, and shifts in demand.

hard-red-winter-wheat.jpg

WASHINGTON, D.C. (RFD NEWS) — USDA’s Economic Research Service says the global wheat outlook is tightening as production falls from last year’s record. World wheat production for 2026/27 is forecast to be down by 24.8 million metric tons, though it remains the second-highest on record.

The biggest production decline is in the United States, where drought reduced area and yields. ERS says other major exporters are also lower, including the European Union, Argentina, Russia, Australia, Canada, Kazakhstan, and Ukraine.

Trade is expected to contract because exporters have smaller supplies and several importing countries have larger crops. North Africa and the Middle East are seeing better production, with Morocco, Turkey, Iran, and Egypt expected to import less.

Global wheat consumption is also shifting. Feed and residual use are forecast to decline, while food, seed, and industrial use are forecast to grow, driven by India’s larger crop and population.

Ending stocks are projected to decline to 275 million metric tons, with major exporters’ stocks tightening most sharply.

Farm-Level Takeaway: Smaller exporter crops and lower global stocks could keep wheat markets sensitive to weather, trade, and shifts in demand.
Tony St. James, RFD News Markets Specialist
Related Stories
Grain movement stayed active, with barges showing the strongest weekly gain while rail and ocean signals remained mixed.
Dry conditions have severely impacted key winter wheat states with persistent moisture deficits. As quality declines, analysts warn some crops may be lost despite upcoming rain.
Rising ethanol stocks and softer gasoline demand bear watching, but stronger blending activity and exports offered some support.
Corn export demand remains supportive, but weak pork and rice sales show uneven global demand trends.
Rising poultry supply is pressuring prices despite steady demand.
Brazil’s ethanol growth could shift the corn trade.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Beef is leading the decline as slaughter drops and supplies tighten.
Ethanol demand held together last week, but lower production and thinner stocks put more focus on export strength. Production capacity is also strengthening over time and benefiting soybean farmers.
Expanded export financing could provide greater support for ag sales abroad if buyers and lenders use the additional tools.
Kansas Congressman Derek Schmidt joins us to discuss House passage of the Farm Bill, its potential impact on farm profitability and stability, key policy compromises, and the outlook for Senate consideration.
The farm bill is still moving, but the toughest amendment fights were pushed into today’s session. ASA President Scott Metzger joins us to discuss the risks of tariff actions on soybean exports, concerns over trade policy and production costs, and the importance of Farm Bill updates.
A more independent UAE could add long-term pressure and volatility to energy markets, affecting fuel and fertilizer costs.
Agriculture Shows
Hosted by Scott “The Cow Guy” Shellady and RFD News Markets Specialist Tony St. James, Commodity Talk delivers expert insight into the day’s ag commodity markets just before the CME opens. Only on RFD-TV and Rural Radio SiriusXM Channel 147.
A look at the news, weather and commodities headlines that drove agriculture markets in the past week.
Everything profits from prairie. Soil, air, water — and all kinds of life! Learn how you can improve your land with prairie restoration, cover crops and prairie strips, while growing your bottom line.
From soil to harvest. Top Crop is an all-new series about four of the best farmers in the world—Dan Luepkes, of Oregan, Illinois; Cory Atley, of Cedarville, Ohio; Shelby Fite, of Jackson Center, Ohio; Russell Hedrick, of Hickory, North Carolina—reveals what it takes for them to make a profitable crop. It all starts with good soil, patience, and a strong planter setup.