The latest Crop Production report from the USDA’s National Agricultural Statistics Service (NASS) offers a glimpse into the expected harvest for several key crops, providing valuable insights for the agriculture sector and investors alike.
The winter wheat production forecast for 2025 paints a picture of modest growth. With an expected 1.38 billion bushels, this year’s production is anticipated to increase by 2% from 2024. The yield is also projected to rise, with an average of 53.7 bushels per acre, up from 51.7 bushels per acre in the previous year. This increase in yield and production can be attributed to various factors, including improved farming practices, favorable weather conditions, and advancements in agricultural technology. For investors, this steady growth in winter wheat production may signal stable returns, particularly for those invested in wheat futures or related agricultural stocks.
The report also breaks down the production forecast by wheat class. Hard Red Winter wheat, a class often used in bread making, is expected to see a 2% increase from last year, totaling 784 million bushels. Soft Red Winter wheat, often used in cakes and pastries, is forecast to increase by 1%, amounting to 345 million bushels. White Winter wheat, which includes both Hard White and Soft White varieties, is expected to see a 7% increase, with Soft White making up the majority of this class.
The all orange forecast for the 2024-2025 season shows a slight increase from the previous forecast, totaling 2.46 million tons. However, this is an 8% decrease from the 2023-2024 final utilization. The Florida all orange forecast, at 11.6 million boxes (521,000 tons), is up less than 1% from the previous forecast but down 36% from last season’s final utilization. These fluctuations in orange production and utilization can be influenced by various factors, including weather conditions, disease outbreaks, and market demand. Investors in the citrus industry should keep a close eye on these trends, as they can significantly impact market prices and returns.
Almond production, on the other hand, is forecast to increase by 3% from the previous year, totaling 2.80 billion pounds (shelled basis). This growth in almond production can be attributed to the increasing demand for almonds, both domestically and internationally, as well as advancements in almond farming practices. For investors, this upward trend in almond production may present opportunities for growth, particularly in almond-related investments.
The NASS report also includes a wealth of additional data, such as area planted and harvested, yield, and production for various crops across the United States. This data, along with the weather summary and precipitation analysis, can provide valuable insights for farmers, agribusinesses, and investors alike. By staying informed about these trends and developments, stakeholders in the agriculture sector can make more informed decisions, ultimately contributing to the sector’s growth and sustainability.
