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%Wheat farmers in America are bracing for a difficult year as they continue to grapple with a crop oversupply.

Surveys show that a growing number of U.S. wheat farmers do not expect to break even in 2024 as a global oversupply of the grain keeps prices at their lowest level in four years.

Wheat prices in the U.S. have plummeted 11% since the beginning of 2024, according to data from the Chicago Mercantile Exchange, as cheap supplies from Europe flood the market.

The London-based International Grains Council forecasts a record global grain crop in 2024, reinforcing concerns about a worldwide supply glut.

Ironically, the worldwide glut and low prices come as U.S. farmers plant what is expected to be their best crop in three years as drought conditions in the American Midwest subside.

A recent Kansas State University study found that American farmers will need a yield of 60 bushels per acre at a price of $6.26 U.S. per bushel just to break even this year.

That forecast is much higher than current prices of around $5 U.S. per wheat bushel.

While wheat prices have collapsed in America, the costs for farm equipment, repairs, and labour have risen dramatically with high inflation and interest rates, adding to farmers’ woes.

The U.S. is the world's fifth largest wheat exporter.