DUSHANBE, March 9, 2012, Asia-Plus — FAO forecasted on March 8 that 2012 world wheat production will be the second highest on record at 690 million tons and also announced that international food prices rose one percent in February — the second increase in two months.
FAO’s quarterly
Crop Prospects and Food Situation
report published on March 8 forecasts a 2012 wheat crop 10 million tons or 1.4 percent down from the record 2011 harvest but still well above the average of the past five years.
Although plantings have increased or are forecast to increase in many countries this year in response to continuing strong prices, a return to normal yields is expected in areas where record highs were achieved last year, the report said. But it was still too early for a global forecast of 2012 cereal output, it added.
Crop Prospects
also noted a firming of international cereal prices in recent weeks due to tightening current wheat supplies and concerns over the impact of severe cold weather in Europe and the Commonwealth of Independent States.
According to the report, the cereal import bill of Low-Income Food-Deficit Countries (LIFDCs) is expected to climb to a record level of $ 32.62 billion in 2012, slightly above the 2010/11 estimate, mainly due to a decline in production and a rise in import requirements in the major importing countries.
FAO’s Food Price Index, published separately on March 8, rose 1 percent, or 2.4 points from January to February. The Index climbed nearly two percent in January – its first increase in six months.
The increase in the February Index was mostly driven by higher prices of sugar, oils and cereals while dairy prices fell slightly after a marked rise in January. At its current level, the Index was 10 percent below its peak in February 2011.
Increased imports due to a weaker US Dollar and plunging freight rates have also characterized world markets since the beginning of 2012. This, combined with unfavorable weather conditions in major exporting countries has supported world prices in recent weeks, FAO said in a brief accompanying the Food Price Index.
Meanwhile, Tajikistan reportedly produced more than 600,000 tons wheat last year. Last year, Tajikistan imported more than 436,100 tons of wheat for a total amount of 116 million U.S. dollars. Besides, more than 335,300 tons of whet flour for a total amount of 130,700 U.S. dollars were shipped to the country last year. Kazakhstan provided the bulk of Tajikistan’s wheat and flour imports – 90 percent.
This year, Tajik farmers intend to increase wheat production due to increase areas under wheat.
According to the data from the Ministry of Agriculture (MoA), Tajikistan’s annual requirements in cereals are nearly 1.5 million tons.
