With market participants worried about transport disruptions in Canada and optimistic forecasts for production in Ukraine, wheat prices fell on Thursday towards the $5.2 a bushel mark and are approaching their lowest level since September 2020, according to Trading Economics.

Farmers have been selling grain in advance to avoid anticipated transportation problems in the face of a possible strike by rail workers in Canada, which could involve more than 9,000 workers from „Canadian National Railway Co.“ and „Canadian Pacific Kansas City Ltd.“.

This is important because more than 90 percent of Canada's grain is transported by rail, and the country is expected to ship about 25.3 million tonnes in the 2024–2025 marketing year.

While in Europe, wheat production is under pressure, particularly in France, where production is expected to fall by a quarter and yields are expected to be among the worst in decades.

Despite these challenges, the US Department of Agriculture raised its forecast for Ukraine's wheat production by 10.8% to 21.6 million tonnes. This reinforced expectations of higher supply and added further downward pressure on wheat prices.