The record slow start to Russia's spring grain sowings campaign has not dampened prospects for wheat production this year, which is set to rebound by some 20%, a leading analyst said.
The late spring had, as of April 28, seen Russian farmers plant 2.65m hectares with grains, down from 3.65m hectares a year before, and leaving well over 90% of plantings left to completed.
However, it is barley, rather than wheat, which will feel the knock-on effects of the delays, Andrey Sizov Jr, managing director of SovEcon, said.
Indeed, spring wheat sowings, which account for a little over half of Russia's total plantings of the grain, look set to beat government expectations.
Harvest rebound
"It has mainly been barley plantings which have been delayed," Mr Sizov told Agrimoney.com.
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Russia's spring wheat sowings
2011: 14.2m-14.7m hectares
2010: 13.92m hectares
2009: 14.86m hectares
2008: 13.94m hectares
2007: 13.79m hectares
Source: SovEcon |
"Wheat is not as early a crop as barley. Farmers till have enough time to plant wheat."
In eastern regions of Russia, "a major producing area for spring wheat, the planting campaign has even been earlier than usual".
SovEcon forecast spring wheat sowings rising to 14.2m-15.7m hectares from 13.9m hectares last year, and above an official forecast of 14m hectares.
The Moscow-based group, in its first forecast for the Russian wheat harvest, pegged it at 48.5m-50.8m tonnes, assuming there is no repeat of the drought which devastated crops last year.
'Persisting rumours'
The forecasts come at a sensitive time for the wheat investors, among which there is continued speculation of an imminent return by Russia to imports, as Agrimoney.com revealed last month.
Agritel, the Paris-based consultancy on Thursday noted "the persisting rumours on export possibilities by July".
In Australia, Commonwealth Bank of Australia analyst Luke Mathews on Friday said "expectations of a strong rebound in Russian grain production in 2011" had "weighed on market sentiment", helping depress prices.