Grain prices have had another week of ups and downs, with European weather woes helping EU wheat prices over the weekend, but the significant gains have largely been lost again this week. French wheat futures (MATIF) rose from around €163 to €173/t on the back of quality and output issues, which threatened the supply of milling wheat. But the weight of supply is once again dominating and prices have eased back.
EU grain output estimate was reduced, mainly as a result of lower yields plus milling quality concerns in France. But alongside this is the belief that the US could again be heading towards yet another record maize crop, as a result of increased area and good yield prospects.
Last Monday, Glanbia offered its growers €163/t for wheat and €153/t for barley for November. These prices provided selling opportunities in the current market, but there was little business done. While these numbers are just not profitable, they are nearly €10/t better than today.
Native prices rose over the weekend in response to the MATIF increase. However, these gains have since largely disappeared. Basically, the market here lacks activity and many mills continue to own stocks that they have not yet used.
Pricing has now drifted to new-crop, with discounts for spot positions. But should a sudden demand spike occur, we could see spot movement.
Physical new-crop wheat is now around €158/t to €160/t, with barley between €145 and €150/t.
Grain prices have had another week of ups and downs, with European weather woes helping EU wheat prices over the weekend, but the significant gains have largely been lost again this week. French wheat futures (MATIF) rose from around €163 to €173/t on the back of quality and output issues, which threatened the supply of milling wheat. But the weight of supply is once again dominating and prices have eased back.
EU grain output estimate was reduced, mainly as a result of lower yields plus milling quality concerns in France. But alongside this is the belief that the US could again be heading towards yet another record maize crop, as a result of increased area and good yield prospects.
Last Monday, Glanbia offered its growers €163/t for wheat and €153/t for barley for November. These prices provided selling opportunities in the current market, but there was little business done. While these numbers are just not profitable, they are nearly €10/t better than today.
Native prices rose over the weekend in response to the MATIF increase. However, these gains have since largely disappeared. Basically, the market here lacks activity and many mills continue to own stocks that they have not yet used.
Pricing has now drifted to new-crop, with discounts for spot positions. But should a sudden demand spike occur, we could see spot movement.
Physical new-crop wheat is now around €158/t to €160/t, with barley between €145 and €150/t.
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