ROCK BOTTOM grain prices mean that farmers should consider selling Group 2 wheat into intervention, according to Glencore.

The grain trader says that many Group 2s have such low protein levels that they are realising little better than feed wheat prices from millers.

Ex-farm values have sunk as low as £65/t in places, with feed wheat only slightly lower at £60-62/t on Jan 12.

Trader Nick Oakhill said: "Currently it‘s very, very difficult to find anyone to give you a sensible premium for Group 2s. In fact, it‘s hard to sell them at all."

The EU will buy wheat into intervention storage for £71/t, on current exchange rates, but farmers must reckon on about £5/t transport costs and a further £3/t for testing and analysis.

On the other hand, premiums of £20-25 have been available for Group 1 wheats into northern mills for most of the season, after the poor harvest knocked quality.

As whole-load supplies have become scarcer even in the south, northern millers are stretching premiums as high as £28/t, bringing ex farm values to £87-90/t on Jan 12.