Wheat is the main food grain produced in the United States and its price recorded a quarterly average decline from July to September 2022, after reaching an all-time high.
In the United States, wheat known as HRW traded at an average of $394.8 per ton from July to September 2022.
Its previous sequence was as follows: July-September 2021 ($318.8), October-December ($370.3), January-March ($417.0) and April-June ($492.4).
According to Teucrium Commodity Trust, wheat is used to produce flour, the key ingredient in breads, pasta, crackers and many other food products, as well as various industrial products such as starches and adhesives. Wheat by-products are used in livestock feed.
HRW refers to hard red winter wheat, ordinary protein, export price delivered to the U.S. Gulf port for immediate or 30-day shipment.
How was your average price in previous years? In 2019, 2020 and 2021 its price was 201.7, 231.6 and 315.2, respectively.
Food grain
U.S. wheat production is exceeded only by China, the European Union, Russia and India.
The U.S. Department of Agriculture (USDA) estimates that by 2021-22, the world’s leading wheat producers will be the European Union, Russia, Ukraine, China, India, the United States, Australia, and Canada.
The United States generates approximately 6 percent of world production, of which approximately 50 percent is exported.
World wheat consumption can fluctuate from year to year due to a variety of reasons that may include, but are not limited to, economic conditions, global health concerns, and international trade policy.
To note: Wheat is a commodity that is widely used around the world, so any contraction in consumption may only be temporary, as has historically been the case.
Winter wheat is planted in the fall and harvested in late spring or early summer of the following year, while spring wheat is planted in the spring and harvested in late summer or fall of the same year.
Finally, standard wheat futures contracts are traded on the CBOT in units of 5,000 bushels, although 1,000-bushel «mini-wheat» wheat futures contracts are also traded.
CBOT wheat futures contracts expire in five months of the year: March, May, July, September and December.
