Wheat markets reached their highest level since mid-July on Wednesday (23 October), aided by strong global export demand.
Feed wheat was trading at about £158/t ex-farm for spot movement. That was almost £3/t firmer on the week, and £14 higher than the mid-September low.
Global markets had been supported by Argentinian officials mistakenly cutting their estimate of wheat production to 8.8m tonnes – although analysts later maintained their view of a 10.1-10.3m tonne crop. “With strong import demand from Brazil and China, ‘top-up’ wheat supplies from Argentina and Australia are more important than normal this season,” said an HGCA report.
Oilseed rape values jumped by almost £4/t on the week, to about £298/t ex-farm – supported by slow soya bean harvest progress in the US. “The oilseeds market will remain weather dependent in the short term as the US harvest progresses and plantings take place in South America,” said the HGCA report.
Argentina’s farmers were expected to plant 20.65m hectares of soya beans – up from the 20m hectares previously forecast by the Buenos Aires Grains Exchange.