Any buyer mentioning an extra handling charge to its tillage farmers supplying grain needs to know that farmers cannot tolerate such attempts to try reduce their profit margins.
Growers are losing enough money as they are having to harvest grain at moistures as low as 10-11% because of the heatwave.
The yield loss alone due to low moistures is having a negative impact on the bottom line, and rather than trying to hand on extra charges the consideration should instead be how to reimburse farmers where grain dryers barely have to be turned on.
Some merchants have confirmed to IGGG that they have no intention of passing on such charges to its grain suppliers, a position we want to see reflected across the board.
The heatwave has moved the harvest here swiftly on, with many finishing up this week. With weather events across Europe and other parts of the world ongoing, there is the possibility that grain prices could strengthen as 2022 prices are going to be finalised in the coming weeks.
Every euro will be needed as we face another growing season where costs will, at this point, be even greater than 2022.