WHEAT
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The grain of a
cereal grass used in the form of flour for white bread, cakes, pastries,
etc.; the plant which bears the edible grain in dense spikes.
There are over 30,000 varieties of this ubiquitous grain. Cultivated
for over 6,000 years, wheat is second only to rice as a grain staple.
Wheat contains more gluten than other cereals, making it an excellent
choice for breadmaking.
Varieties of Wheat
The three principal types of wheat used in modern food production are:
- Triticum vulgare - it provides the
bulk of the wheat used to produce flour for bread making and for
cakes and biscuits (cookies).
- Triticum durum - Durum is the
hardest of all wheats. Its density, combined with its high protein
content and gluten strength, make durum the wheat of choice for
producing premium pasta products
- Triticum compactum
India in World Wheat Industry
India is looking to a larger wheat production of 75 million tonnes this
year compared to 72 million tonnes in 2004. Markfed is one of the
largest wheat exporters in the country. In 2003-04, it had exported 2.65
million tonnes of wheat.
| Country |
Metric
Ton |
|
|
| 1995 |
2000 |
2003 |
| Argentina |
9,542,315 |
16,146,620 |
14,530,000 |
| Australia |
16,504,000 |
22,108,000 |
24,900,000 |
| Canada |
24,989,400 |
26,519,200 |
23,552,000 |
| France |
30,880,000 |
37,353,400 |
30,582,000 |
| Germany |
17,763,000 |
21,621,548 |
19,296,100 |
| India |
65,767,400 |
76,368,896 |
65,129,300 |
| Iran |
11,227,540 |
8,087,756 |
12,900,000 |
| Kazakhstan |
6,490,000 |
9,073,500 |
11,518,500 |
| Pakistan |
17,002,400 |
21,078,600 |
19,210,200 |
| Russia |
30,118,660 |
34,455,488 |
34,062,260 |
| Turkey |
18,015,000 |
21,008,600 |
19,000,000 |
| United
Kingdom |
14,312,000 |
16,704,000 |
14,288,000 |
| United
States of America |
59,404,000 |
60,757,488 |
63,589,820 |
Factors Influencing Wheat Markets
- Crop size
- Crop conditions
- The level of surplus or shortfall
- Agricultural and economic policies
in the country and abroad
- Worldwide demand for wheat
- Domestic flour milling needs
- The relative strength of the
currancy
The basics of wheat economics
When supplies of a commodity are excessive, prices decline. When demand
for the commodity increases, so does the price. Typically, companies
invest from 5% to 7% of their gross revenues to product promotion.
Individually, wheat farmers have little impact on demand, but putting
all the heads together can make a significant difference in product
demand and market price. And that leads to the ultimate goal of the
improved income for wheat producers.
World Wheat Supply and Disposition
| |
1997-98 |
1998-99 |
1999-00 |
2000-01 |
2001-02 |
2001-00 |
1997-01 |
| (Million
Tonnes) |
|
|
|
Prelim. |
Proj. |
% Chg |
Avg. |
| Beg
Stocks |
145.4 |
170.9 |
174.7 |
167.93 |
157.71 |
-6.1 |
163.33 |
| Production |
609.2 |
588.8 |
586.8 |
578.8 |
567.63 |
-1.9 |
586.25 |
| TOTAL
SUPPLY |
754.6 |
759.7 |
761.5 |
746.73 |
725.34 |
-2.9 |
749.57 |
| TOTAL
USAGE |
583.6 |
585.1 |
593.51 |
589.02 |
594.47 |
0.9 |
589.14 |
| ENDING
STOCKS |
170.9 |
174.7 |
167.93 |
157.71 |
130.86 |
-17 |
160.42 |
| Stocks/Use% |
29.3 |
29.9 |
28.3 |
26.8 |
22 |
-17.8 |
27.2 |
| Trade |
104 |
101.93 |
112.39 |
102.81 |
106.25 |
3.3 |
105.48 |
Wheat Economics
Harvested wheat grain is classified according to grain properties for
the purposes of the commodities market. Wheat buyers use the
classifications to help determine which wheat to purchase as each class
has special uses. Wheat producers determine which classes of wheat are
the most profitable to cultivate with this system.
Wheat is widely cultivated as a cash crop because it produces a good
yield per acre, grows well in a temperate climate even with a moderately
short growing season, and yields a versatile, high-quality flour that is
widely used in baking. Most breads are made with wheat flour, even many
breads named for the other grains they contain, including most rye and
oat breads. Many other popular foods are made from wheat flour as well,
resulting in a large demand for the grain even in economies with a
significant food surplus.
Indian Scenario
- India has the largest area in the
world under wheat. However, in terms of production, we are only the
third largest behind EU-25 and China.
- India produces about 65-75 million
tons of wheat a year, which is about 35% of India's total food grain
production of 210-212 million tons.
- Since wheat and rice are grown in
separate seasons, they do not compete for area.
- The major wheat producing states
of India are Uttar Pradesh, Punjab, Haryana, Madhya Pradesh,
Rajasthan and Bihar. Which together account for around 93% of total
production.
- Wheat is sown during November to
January and harvested during March to April. The wheat-marketing
season in India is assumed to begin from April every year.
- Indian wheat is largely
soft/medium hard, medium protein, bread wheat. India also produces
around 1.5 million tons of durum wheat, mostly in central and
western India, which is not segregated and marketed separately.
- Government announces Minimum
Support Prices (MSP), which is the minimum price at which
procurement has to be carried.
- The total procurement of wheat by
Government agencies ranges from 8 to 20 million tons, accounting for
only 15-20% of the total production.
- The support price operation and
the Public Distribution Systems (PDS) play a significant role in
maintaining reasonable and stable food grain prices in the country
for both the producers and consumers.
- India consumes around 70-72
million tons of wheat a year. Most domestic wheat consumption is in
the form of homemade chapatis or rotis using custom milled atta,
although usage of branded packaged atta marketed by large companies,
is increasing in cities.
- There are around 200 large
flourmills in India, with a milling capacity of around 15 million
tons.
- India exported around 5 million
tons subsidized by Govt in 2003-04, as a result of surplus stock.
However, current Govt. policies are not in favour of exports.
Southeast Asia and Gulf countries are major importers of Indian
wheat.
Global Scenario
- The world wheat production in the
recent years has been observed to be hovering between 560-580
million tons a year.
- The biggest cultivators of wheat
are EU-25, China, India, America, Russia, Australia, Canada,
Pakistan, Turkey and Argentina. India, EU-25, China, India and US,
the four largest producers account for around 58% of the total
global production.
- World wheat consumption is
consistently growing with growth in population, as it is one of the
major staple foods across the world. The major consuming countries
of wheat are EU, China, India, Russia, USA and Pakistan.
- Around 16-19% of the world wheat
production is traded annually between countries. The annual world
trade in wheat is to the extent of 102-106 million tons. America,
Australia, Canada, EU-25 and Argentina are the five largest
exporters of wheat in the world.
- Major importing countries that
tops in the figures are European Union, China, Egypt, Japan, Brazil
and European Union. Other importing nations are Mexico, Indonesia,
Algeria, Philippines, and Iraq. However the import amount varies
year to year depending upon the domestic production.
Properties
Wheat is sweet, cool, cures excessive humor of wind and bile in the
body, rich in proteins, causes phlegm, increases virility, gives
strength, is very nutritious and makes the complexion of the body fair.
Uses
- Wheat is one of the staple food
used most commonly in India.
- The bread made of wheat flour is
very relishing, nourishing, strength giving and very good for people
having very high appetite.It cures flatulation and causes the
formation of phlegm. Wheat flour cures constipation, ley loosening
up the hardened stool.
- 50 gms of wheat soaked in 465
grams of water for the whole night. In the morning it is mashed up
in that same water and after filtering that same water and drinking
it after mixing some sugar into it, cures the emanation of sperms
through urine within a week.
- Drinking the solution of wheat
dissolved in milk and mixed with some sugar cured the bleeding of
the nose.
- Taking two or three spoonful
grains of wheat during the time of having food, increases the
resistance power of the body, it also cures constipation and is very
beneficial for cancer patients.
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