July wheat opened 8 cents higher this morning at 799 and established an early range of 793 to 806. The market rallied overnight and into the morning session. Traders indicate that the strength came in part from a lowering of the crop condition on the USDA's Crop Progress Report. The good-to-excellent category was lowered to 45% from 47% last week. The poor-to-very-poor category was raised to 24% from 21% last week. Weather in Australia the Australian state of New South Wales is expected to remain dry over the next week and this was also said to be a factor in the early rally along with the lower dollar. NSW produces about 30% of the Australian wheat crop and about half the state is experiencing drought or near drought conditions. Pakistan has offered reward for information that will lead to the prosecution of wheat hoarders. That country has blamed hoarders and smugglers for recent price increases and has begun attaching guards to wheat shipments. Prime Minister Vladimir Putin said this week that Russia should increase grain production to 1 metric tonne per person. If accomplished, this would raise total production from 81.8 million tonnes in 2007 to over 140 million tonnes given the current population of Russia. RICE: Vietnam might resume rice exports in early July. They are traditionally the world's second largest exporter but have stopped all exports through the end of June when new crop supplies become available.