Week Beginning Monday 27th July 2015

UK ex-farm values have come under further pressure this week despite this week’s wet weather bringing a delayed start to harvest for many growers in our region.

Plenty of new crop winter barley samples landed on our desks over the weekend before the wet weather hit on Saturday evening/Sunday and results are encouraging.  

Most feed varieties have yielded particularly well although some bushel weights have been compromised for this.

For those of you looking to shift new crop feed barley, current values are struggling to make £100.00/T ex-farm for as available collection off the combine. End-users are current guarded about their requirements, leaving export as the only potential market and this is under severe pressure with the pound at its current levels.

Of the malting varieties, SY Venture results have been excellent with nitrogen contents under the required 1.6% commonplace – some East Yorkshire samples have tested as low as 1.25%. Bushel weights are also encouraging with all samples so far meeting the required specification. We are yet to see any Talisman samples.  

Winter malting barley growers without a contract are currently looking at a £5.00 – £7.00/T premium above feed values.

Meanwhile, around 5% of this year’s UK OSR crop has been harvested with both Kent and Sussex making a ‘promising start’ to this year’s harvest. Reported yields are variable although the majority of growers appear pleased – we should have a better idea of yields over the next few weeks.

OSR for as available collection off the combine should just about make £250.00/T ex-farm although values are continuing to fall under pressure as the Euro grows weaker. Also, early harvest results from France and Germany are encouraging despite the initial concerns – values could therefore edge closer in the short term. An £8.00/T – £10.00/T premium is currently offered for November collection.

The French winter wheat harvest is now well underway – 70% of the crop had been harvested by the beginning of the week. This is more than double the amount that had been combined by this time last year. A warm and dry forecast for the weekend should allow for progress to continue; combines are now amongst winter wheat in the North of France and yields are very good.

Regardless, concerns remain for this year’s French maize corn crop (France is Europe’s largest maize corn crop) due to the ongoing dry weather and according to the local Agricultural Ministry there, crop quality is beginning to decline. 62% of this year’s crop is now described as being in at least a good condition; three weeks ago this was 82% and at this time last year, 84% of the crop was in at least a good condition. This could be one to watch for those of you who are sellers of feed wheat in the short-medium term.