International grain markets rose steeply once again in recent days, but this time there is a bit more confidence that they will hold. There is a growing realisation that grain production levels will be down in a number of regions, with weather impacting in different ways.

Currency is also a factor, with the euro weakening against the dollar. Fund activity is part of the reason for the increase in futures prices in the US.

On balance, there would appear to be more overall concern as to the total global output this year compared with many recent years at this time.

There is an increasing awareness of the fragility of the current market and the very many reports of weather difficulties around the globe. We have seen these in previous seasons with no consequences, so the market has been slow to react.

While there is a stronger tone to the market, there is not much selling of native grain on which to judge prices. Spot prices remain largely nominal, with wheat in the €182 to €185/t range to the trade, but native barley is now virtually unavailable. November wheat is in the €180 to €183/t range, with barley close to €180/t.

Earlier this week, Glanbia offered €153/t and €182/t respectively for green and dry wheat and €150 and €170 for barley.

Meanwhile, other merchants producing feed have been offering growers between €155 and €165/t for green barley in an effort to encourage planting and to secure harvest supplies.