The production of wheat in the globe's second-largest generator of the grain is poised to push to record highs for a seventh year thanks to assistance from brisker weather, according to Bloomberg.
Yield prospects in India are being prodded higher by colder weather, which also is prompting increased planting, according to Bloomberg. Increased soil moisture and lower temperatures in the primary growing states during the past 21 days have been a boon for the grain.
"With elections scheduled for next year, the government will like to buy more of the new crop," senior analyst Faiyaz Hudani with Kotak Commodity Services Ltd. In Mumbai told the news service. "It will have to liquidate the old crop to create space. When the purchase is going to be high, the government's only option is to export."
At 10:44 a.m. on Wednesday, wheat futures fell 0.17 percent, a 0.0125 cent fall to $7.4925 per bushel.
The Wall Street Journal reports animal feedmillers in South Korea are increasingly purchasing wheat from South America, turning away from India due to concerns about the quality of exports.
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