Romania’s wheat exports drop 20 pct, focus on drought-affected EU markets

Georgeta Gheorghe 16/07/2018 | 11:39

Romania’s wheat exports have dropped in the past nine months by 20 percent year-on-year, from 6 million tons to 4.8 million tons, due to lower output and the exit from markets such as Morocco and Turkey. During the period surveyed, most of Romania’s the exports have focused on European Union countries, and mainly Spain, where production dropped due to drought. 

According to data provided by the United States Department of Agriculture, (USDA), between July 2017/April 2018,  Romania exported over 30 percent of its wheat output to other EU member states.

Spain, in particular, became the main export market for Romanian wheat, as the country’s imports went up to 1 million tons, up 250 percent year-on-year.

Egypt, previously the main destination for Romania’s wheat exports, bought 17 percent less from Romania and focused instead on Russia and Ukraine. Last year, over 80 percent of Romanian wheat had been exported to markets outside the EU.

USDA forecasts further drop in Romanian wheat exports 

According to USDA experts, Romania’s exports are expected to drop during the current marketing year as well as over the next one. For the current year, USDA forecasts that Romania will export 6.1 million tons, down from last year, when it exported 6.8 million tons.

Moreover, for the next marketing year (2018/2019), Romania’s wheat exports will further drop to 5.9 million tons. The underlying reason for the decrease is a lower wheat production in 2018, estimated to reach 8.5 million tons, compared to 9.1 million tons recorded last year.

“Overall, we expect production to drop by 6 percent compared to last year. Harvesting started earlier, in June, following a warm May. The initial reports show a better production from the point of view of the level of protein and the weight of the grain. Still, recent rainfall could make quality drop,” USDA says.

Romania’s wheat production stands at 2.1 million hectares. By beginning July, 28.5 percent of the surface had been harvested, data provided by the Ministry of Agriculture shows.

EU’s wheat production sees sharp drop

The grain production across the bloc will reach its lowest level in six years, Bloomberg reports. The main factors are the heatwave and drought affecting the north, in particular Germany, combined with heavy rainfall affecting countries such as France.

According to sources quoted by Bloomberg, the situation is so dire in Germany, many local farmers prefer to destroy their crops, rather than harvest them. Farmers in Poland and the UK face similar problems, due to heat.

According to experts, the most surprising situation is found in France, Europe’s top wheat grower. After forecasts for the best output in years, after the rain fell in much higher quantities than expected, the forecasts show the country will produce 4.6 million metric tons less.

 

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Georgeta Gheorghe | 29/11/2022 | 10:17

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