Projected U.S. wheat ending stocks for 2012/13 are raised 50 million bushels this month. Exports are projected 50 million bushels lower, reflecting the slow pace of sales and shipments, and an outlook for increased foreign competition.

Projected U.S. exports are lowered 25 million bushels each for hard red winter (HRW) and soft red winter (SRW) wheat. Projected all-wheat imports are unchanged, but imports are projected slightly higher for HRW wheat with an offsetting reduction made for SRW wheat imports. The projected range for the 2012/13 seasonaverage farm price is narrowed 10 cents on both ends to $7.75 to $8.45 per bushel.

U.S. wheat export prospects are reduced further, whereas other major exporters are expected to tighten up stocks with larger projected exports. The global wheat production forecast is lowered 1.6 million tons with deteriorating prospects for Australia. Both foreign wheat feed use and ending stocks are projected lower.

Source: Wheat Outlook