Key Messages
· Projections for 2014/15 maize, rice, and wheat see harvests of some 2.16 billion tonnes — down 10 million tonnes from the 2013/14 record, but still 20 million tonnes above projected consumption.
· Spot prices of maize and wheat have fallen back a little to US$201 a tonne for maize and US$318 a tonne for wheat as fears over the impact of events in Ukraine on grain markets subside.
· Rice prices from three major exporters – Thailand, India, and Vietnam – are hovering around the range of $350 to $380 a tonne for 25% broken rice. Less than two years ago ruling Thai prices were US$550 a tonne.
· Food and cereals price indices may be settling at a new equilibrium, even if in constant terms they are some 30% to 40% higher than before the 2007/08 price spike.
Key Messages
· Projections for 2014/15 maize, rice, and wheat see harvests of some 2.16 billion tonnes — down 10 million tonnes from the 2013/14 record, but still 20 million tonnes above projected consumption.
· Spot prices of maize and wheat have fallen back a little to US$201 a tonne for maize and US$318 a tonne for wheat as fears over the impact of events in Ukraine on grain markets subside.
· Rice prices from three major exporters – Thailand, India, and Vietnam – are hovering around the range of $350 to $380 a tonne for 25% broken rice. Less than two years ago ruling Thai prices were US$550 a tonne.
· Food and cereals price indices may be settling at a new equilibrium, even if in constant terms they are some 30% to 40% higher than before the 2007/08 price spike.
Steve Wiggins and Sharada Keats
