It is rare that grain farmers can look through the fog of harvest information and be optimistic about future prices.

On a few occasions this year there were opportunities to sell dry wheat forward for November at €230/t, or higher, and over €215/t for barley. Seldom do these highs return for harvest, but it may happen for 2021.

It has been almost 10 years since harvest grain prices were at a reasonable level. Current trends suggest wheat prices may be up €25/t this year, with barley up €40/t.

This, coupled with improved yields and higher straw yields and prices, provides for better returns and a rare opportunity for investment in the future.

However, as with all other sectors, the inflationary consequence of high grain prices will be seen in higher fertiliser and other input prices for many years after the price of grain has weakened again.

Access to new breeding techniques is essential to help provide robust and sustainable genetic alternatives to pesticides

In this week’s focus, Andy Doyle looks at the possible need for changes to help cater for future requirements. The pace of spread of blackgrass and other grass weeds has magnified the importance of clean seed sources and the need for clean land on which to grow this seed.

The ongoing loss of chemical actives, the challenges of resistance in nature and the demand for lower chemical usage, are increasing the need for better genetic resistance packages. Access to new breeding techniques is essential to help provide robust and sustainable genetic alternatives to pesticides, along with appropriate changes to the recommended list process.

This week’s cartoon

Smart strategy behind Yemen appeal

What appeals to me about money collected for Yemen by dairy farmers across this island is the strategy of how it was used (see letters page).

Despite the desperate situation in Yemen, it wasn’t all about handouts, it was about helping them to help themselves.

Amazing how something so small from so many can affect the lives of over 600,000 people.

All involved, including the farmers, take a bow.

A future initiative would definitely rank high for a lot of farmers I’d expect.

GDT slide comes off 10-year high

While global milk prices trend down as measured by the GDT, it is important to put in context that it’s a gentle slide from a 10-year high.

Despite Ornua commodity prices being down slightly this month, the PPI increased again for July when the value payment is included. The Ornua PPI equivalent serves as the best indicator when comparing base prices with what the co-ops are paying.

A significant gap between average co-op base prices and Ornua market returns at peak volumes is a big loss of revenue for dairy farmers.

Strong sheep prices reflect positivity in sector

Leaving aside the exceptional record price of €44,000 for a ram this week, it is clear that commercial ram sales are up between €100 and €200 per head for the quality, early rams that have gone to market already.

As the breeding hogget sales kick off, early indications are that the mid-range price of breeding hoggets is up by between €25 and €30 per head, with top prices comparable to last year.

The price moves are a clear indication of continued positivity in the sheep sector and a willingness of sheep farmers to invest in better-quality stock if farmgate prices are higher.

The continued good lamb prices fly in the face of all those commentators that said higher lamb prices weren’t sustainable.