Grain crop estimates rise steadily
A prolonged drought during the past two seasons has lowered the expected maize yield by almost a third from a usual harvest of 12-million tonnes to about 7.536-million tonnes. That, however, is 3,3% higher than the previous forecast.
The committee expects wheat production to be 1.7-million tonnes from last year's 1.4-million tonnes. The latest estimate is 1% or 17,350 tonnes more than the previous forecast. The adjustment is due to good rains in winter-crop districts.
On Tuesday, the December 2016 wheat future contract was valued at R4,088 rand a tonne, while the yellow maize contract was valued at R3,008 rand a tonne.
The committee expects sunflower seed production to be 755,000 tonnes, 1,65% or 12,250 tonnes more than the previous forecast. The production estimate for soybeans decreased to 741,550 tonnes, which is 1,16% or 8,700 tonnes less than the previous forecast.
Source: BDpro