Serrari Group

The Food and Agriculture Organization of the United Nations (FAO) has projected that global cereal stocks will reach an unprecedented 897 million tonnes for the 2024/25 season, a 1.5% increase from their opening levels. This projection highlights a period of significant stability in the global cereal market.

Global cereal production is anticipated to reach 2,846 million tonnes, maintaining levels close to the record output achieved in the 2023/24 season. This steady production is expected despite potential adverse weather conditions in the Black Sea region, which may impact wheat yields. However, these potential disruptions are not yet reflected in the current forecasts.

The FAO’s latest Cereal Supply and Demand Brief indicates an increase in the inventories of maize, barley, sorghum, and rice, while wheat stocks are expected to decline. The global stocks-to-use ratio is projected to remain stable at 30.9%, suggesting a balanced relationship between supply and demand.

Increasing Utilization and Trade Dynamics

Total cereal utilization is expected to grow by 0.5% to a new high of 2,851 million tonnes in 2024/25, driven primarily by increased food consumption of rice.

In contrast, global trade in cereals is forecasted to decline by 1.3% to 481 million tonnes, mainly due to lower trade prospects for maize. Nonetheless, international rice trade is predicted to expand significantly, reflecting strong global demand.

Market Implications

The FAO’s projections indicate a stable and resilient global cereal market, with ample supplies to meet global demand. However, stakeholders should be aware of potential risks, such as weather-related production challenges in key regions like the Black Sea.

For consumers, the steady supply of cereals, especially rice, suggests continued availability and potentially stable prices. For farmers and producers, these insights from the FAO provide valuable guidance for strategic planning in crop production and resource management.

Overall, the FAO’s forecasts offer a comprehensive overview of the global cereal market’s current state and future prospects, aiding policymakers, traders, and stakeholders in making informed decisions in the coming months.

Photo source: Google

By: Montel Kamau

Serrari Financial Analyst

10th June, 2024

Share this article:
Article and News Disclaimer

The information provided on is for general informational purposes only. While we strive to keep the information up to date and accurate, we make no representations or warranties of any kind, express or implied, about the completeness, accuracy, reliability, suitability, or availability with respect to the website or the information, products, services, or related graphics contained on the website for any purpose. Any reliance you place on such information is therefore strictly at your own risk. is not responsible for any errors or omissions, or for the results obtained from the use of this information. All information on the website is provided on an "as-is" basis, with no guarantee of completeness, accuracy, timeliness, or of the results obtained from the use of this information, and without warranty of any kind, express or implied, including but not limited to warranties of performance, merchantability, and fitness for a particular purpose.

In no event will be liable to you or anyone else for any decision made or action taken in reliance on the information provided on the website or for any consequential, special, or similar damages, even if advised of the possibility of such damages.

The articles, news, and information presented on reflect the opinions of the respective authors and contributors and do not necessarily represent the views of the website or its management. Any views or opinions expressed are solely those of the individual authors and do not represent the website's views or opinions as a whole.

The content on may include links to external websites, which are provided for convenience and informational purposes only. We have no control over the nature, content, and availability of those sites. The inclusion of any links does not necessarily imply a recommendation or endorsement of the views expressed within them.

Every effort is made to keep the website up and running smoothly. However, takes no responsibility for, and will not be liable for, the website being temporarily unavailable due to technical issues beyond our control.

Please note that laws, regulations, and information can change rapidly, and we advise you to conduct further research and seek professional advice when necessary.

By using, you agree to this disclaimer and its terms. If you do not agree with this disclaimer, please do not use the website., reserves the right to update, modify, or remove any part of this disclaimer without prior notice. It is your responsibility to review this disclaimer periodically for changes.

Serrari Group 2023