Poor winter wheat crop could be bullish for spring wheat market

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The spring wheat market is no exception when it comes to how up in the air the commodity markets have been.

Especially when you look at all the intended acres that are planned for the U.S.

Chip Flory, of Agritalk, says a main reason for keeping eyes on the spring wheat market, is the terrible condition of the key hard red winter wheat areas in the U.S.

“28 per cent are graded good to excellent, 36 per cent rated poor to very poor, and that’s the general numbers,” he says. “When you look at some of the conditions up in Kansas, and the HRW acres in general, these crop ratings are historically low, and historically bad.”

So, how do we manage all of these not so great areas? By replacing them with spring wheat acres, says Flory.

“We need to get all of those 10-and-a-half million acres planted, so that spring wheat market has got to be engaged.”

On the positive side of news, the spring wheat export market will be on fire, says Flory, which is of course a huge positive to growers in Western Canada and in the Northern Plains.

Check out the full conversation between Flory and RealAg Radio host Shaun Haney, below:

 

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