Russian Wheat - A Curveball for US Elevators

Sep 20, 2023

After some rainy days, the sun's finally shining on the US wheat fields, especially in the Midwest. Our farmers have rolled up their sleeves and produced the largest soft red winter wheat in nearly ten years. And guess what? This is the wheat that goes into making delicious treats like pastries. 

But there’s a catch. Enter Russia, with its super low-cost wheat exports. Their declining currency and vast wheat supplies have put them in the global spotlight, making things tricky for our US wheat elevators. They're scratching their heads, wondering about profits in this scenario. 

And the ripple effects globally. Countries from Argentina to Australia are grappling with reduced wheat due to tough weather conditions. Plus, the Russia-Ukraine tension adds more uncertainty to the mix. 

Experts are buzzing with predictions. As global wheat stocks tighten and Russian wheat keeps pouring in, we might see prices shoot up. And our bakers? They have a challenge on their hands, trying to mix the right wheat types for that perfect loaf of bread. 

Source : wisconsinagconnection
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