Suitable weather conditions in Australia are helping the nation's wheat industry achieve record exports and harvests, the government forecaster said on Tuesday.
Bloomberg reports exports of the grain are slated to drive as high as 22.3 million metric tons for year ending September 30, according to the Australian Bureau of Agricultural Resource Economics and Sciences. The new figures are 3.2 percent higher than estimates issued on December 6 and 20 percent higher than projections from one year ago.
"The market may be a bit surprised by the number," risk and pricing general manager David Johnson with Emerald Group Australia told the news service. "Australia will continue to have to price wheat as a feed grain into certain markets to achieve that export volume."
At 7:35 a.m. on Wednesday, wheat futures gained 0.39 percent, a 2.5 cent lift to $6.415 per bushel.
The U.S. is the globe's top producer and grower of wheat and Australia is prepared to slip into the slot as the second-biggest shipper of the grain.
Comparatively, Reuters reports the Farm Ministry of the Ukraine indicated as many as three million hectares of winter crops were damaged by poor weather.
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