GLOBAL grain stocks are running down to their lowest level for nearly 35 years,
The US Department of Agriculture’s August 2007 World Agriculture Supply and Demand Estimates (WASDE) and Crop Production report said world wheat supplies remained tight with 2007-08 world carryover estimates slipping from July’s 116.55mt prediction to an estimated 114.78mt.
AWB State grain manager Matt Rigg said stocks being at a critical level was one of the main reasons why prices had gone remarkably high.
“Remember that we started the marketing year with tight global wheat and coarse grain stocks,” Mr Rigg said.
“We’re now at a point where global stocks are at the tightest point they’ve been in the past 30 years and now US wheat stocks are approaching the same low levels seen back in 1996/97."