Kazakhstan's 2021/22 Wheat Production To Drop 18 Percent Year-on-year

WASHINGTON, March 24:Kazakhstan's wheat production in 2021/22 is expected to be 11.8 million tons, down 18 percent from 14.2 million tons in 2020/21, due to hot and dry weather throughout the growing season, according to a report released by the U.S. Department of Agriculture's agricultural counselor.

Kazakhstan's Ministry of Agriculture reported the 2021/22 harvest on Nov. 21, 2021, with 16.4 million tons of all grains and an average yield of 1.03 tons per hectare. The Ministry of Agriculture noted that the percentage of grade 1 to 3 soft wheat reached 90%, up from 81% in 2020/21. The protein content of soft wheat increased by 60% in 2021/22.

The country's statistics office reported that winter and spring wheat were planted on 12.9 million hectares and harvested on 12.7 million hectares, with production of 11.8 million tons in 2021/22.

Wheat exports for 2021/22 are expected to be 7.4 million tons, unchanged from the USDA's official forecast. on March 10 Russia's Ministry of Economic Development announced it would suspend exports of wheat and other grains to member countries of the Eurasian Economic Union (EAEU), including Kazakhstan, with the ban lasting until August 31, 2022. However, due to the temporary nature of the order, the weakness of the Russian ruble relative to Kazakhstan's currency, and the fact that Russia is allowing already contracted export contracts to continue, Kazakhstan continues to be forecast to import 1.4 million tons of wheat this month.

Transportation restrictions at the Chinese border continue to pose challenges for Kazakhstan exporters

Since October 2021, China has largely restricted Kazakhstan's grain exports to China by rail due to epidemic-related restrictions. in January 2022 China reopened limited grain imports from Russia and Kazakhstan. Kazakh officials continue to engage with their Chinese counterparts to increase train and truck traffic at both border crossings.