Global shipments of wheat are set to drop to their lowest rate since 2006 this year as a result of a profound slump in exports of the grain from Australia, according to Bloomberg.
As the globe's second-biggest grower of the grain, Australia is set to see reductions of as much as 31 percent during the 12-month period leading to September 30, according to the median estimates of seven analysts polled by Bloomberg. The reduction comes as crops around the world endure reductions as a result of drought.
"The rain didn't come until late," farmer Maitland Davey who tills 3,700 acres of crops in the capital of Australia's biggest exporting state told the news source. "I hate ripping that ground up dry, dust just flying everywhere."
At 9:11 a.m. on Wednesday, wheat futures gained 0.79 percent, a 0.0675 lift to $8.635 per bushel.
Reuters reports the wheat produced by Australia, as the globe's second-largest exporter of the grain trailing only the U.S., is of reduced protein scales and less than normal, according to analysts and traders.