By FWi staff
OILSEED rape values have continued their recent recovery over the week, with a domestic shortfall in supply providing some price support.
Ex-farm spot prices have climbed over £3 to about £123.20/t, but April deliveries made the biggest recovery, reaching £135/t in some areas. Harvest values, although still lower than current prices, inched up £2 at £120/t.
But despite these increases, the price movements on UK markets were described as volatile last week, reacting mainly to currency movements and an erratic Chicago soya futures market, noted the Home-Grown Cereals Authority.
EU rapeseed values are being helped by the weaker Euro against the Dollar. This has improved crush margins and encouraged crushers to purchase more seed. As a result European rapeseed values have risen by 4- 9/t.
Chicago has recovered some 20% from the lows seen at the start of the month.
Improved export prospects to Russia in the form of food aid and a possible revision downwards of the soyabean crop has caused this turnaround, said a spokesman from Gleadell Banks.
With UK rapeseed prices now £20/t off the lows seen, it has certainly bought some seed to the market, he added.