Global wheat output to hit 676m tonnes in 2011: FAO

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ROME, Mar 23 (Commodity Online): United Nations Food and Agricultural Organization (FAO) released its first forecast for global wheat production, which stands at 676 million tons. According ot FAO's , the forecast represent a growth of 3.4 per cent from 2010, but could still be below the bumper harvests in 2008 and 2009. Wheat plantings in many countries have increased or are expected to increase this year in response to strong prices, while yield recoveries are forecast in areas that were affected by drought in 2010, the Russian Federation in particular, the report specified. As the bulk of the world's coarse grains and paddy crops are yet to be planted, it is, however, too early to forecast total cereal production for this year. Looking back to last year's production, the FAO report notes that in the low-income food-deficit countries (LIFDCs) as a group, the 2010 cereal output rose by 5.6 per cent, a development that will result in reduced cereal imports in the 201011marketing years. But this will not necessarily spell much relief for these countries as their overall cereal import bill is estimated to increase by 20 percent because of higher international prices. Prospects for the 2011 May-June harvests of winter wheat and coarse grains in North Africa are generally favourable, except in Tunisia where dry conditions in January dampened hopes for a robust wheat production recovery. The current situation in North Africa has resulted in the displacement of large numbers of people and disruption to the flow of goods and services in this heavily cereal-import dependent region.