By FWi staff

THE ongoing tight supply situation for spot rapeseed led to a recovery in UK prices last week, according to The Home-Grown Cereals Authority.

Rapeseed for June delivery climbed £2/t, raising the premium over seed delivered to Erith to £5/t, noted the HGCA.

Imports from the Continent have eased the situation in Erith while Liverpool is still actively seeking seed for immediate delivery.

But despite reports of price increases one trader said that prices are continuing to languish in the doldrums near to record lows.

High world oilseed stocks and continued prospects for huge world production this year continue to weigh on the market and these factors will probably take some time to work themselves out, said a spokesman from Banks Agriculture – “Probably at least a year to 18 months.”

Ex-farm old-crop rapeseed is selling at about £113/t for June deliveries, while harvest values remain unchanged at £107/t ex farm.

Trade reports indicate that farmers are still reluctant to sell forward in the hope of higher prices.