A common remark about the wheat market is that we are awash in the stuff. After all, global ending stocks have climbed 43 percent over the past ten years. That is why the price has been dropping. In fact, wheat costs 32 percent less today than it did ten years ago. But the paradox is that on current trend, the world is going to run out of wheat. If one looks at surplus stocks on a per capita basis, the global carry out has fallen by almost a quarter over the past decade, from 35 tons per person to less than 27 tons. The area planted to wheat has dropped by 3 million hectares, or -1.36 percent. While the area planted to wheat has been contracting by an average annual rate of -0.14 percent, the world’s population is expanding at 0.92 p...

TAGS – Wheat, North America