Increased production from Europe and the Black Sea will contribute to the globe's largest wheat crop on record during the upcoming season, according to market data cited by Bloomberg. Corn and rice production also is forecast to be strong.
The Agricultural Market Information System noted the generation of the grain will push to 702 million metric tons during the 2013-2014 season, which kicks off early next month. Wheat futures are down roughly 10 percent thus far this year amid the prospect of increased production, which comes one year after drought conditions harmed harvests in Russia, Ukraine, southern European and the U.S.
"Early indications for world wheat, maize and rice production in 2013 point to record levels and an overall increase in supplies in the new 2013-14 marketing season," according to the organization.
At 12:57 p.m. on Thursday, wheat futures fell 0.82 percent, a 0.0575-cent decrease to $6.9575 per bushel.
The Wall Street Journal reports China, the world's second largest economy that trails only the U.S., is forecast to cut down on consumption of wheat and rice. The Asian nation is the globe's largest consumer of the grains.
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