Global surplus and strong euro drive EU wheat down 20pc in 2025

PARIS/HAMBURG: European wheat ended the year’s trade on Wednesday with an annual loss of nearly a fifth of its value after bumper harvests across the globe boosted supply and a stronger euro made the crop less competitive on world markets.

Front-month March milling wheat on Paris-based Euronext, closed the final session of 2025 0.1 percent higher at 190 euros a metric ton, marking a loss of nearly 20 percent for the front-month contract this year.

Soft wheat output in France, Germany and Romania surged this year after favourable weather, lifting the bloc’s soft wheat crop to a 10-year high.

Meanwhile, record harvests in Australia and Argentina increased volumes available for export, while Russian shipments at aggressively low prices eroded EU competitiveness in markets such as North Africa and the Middle East.

The stronger euro against the dollar, made EU wheat less attractive abroad and trade frictions and concerns about the impact of war in Ukraine on supply and trade were not enough to offset the bearish market mood.