Tuesday, 18 May, 1999

  • Delivered feed wheat prices fell by over £1 in most regions last week.

  • Milling wheat prices also fell, with delivered premiums now just over £10 in most regions.

  • Traders reported a modest increase in farm sales and reduced interest by consumers. They continue to attribute recent price support to the end of the May futures contract next week.

  • The market remains uncertain as to whether physical wheat will be tendered to meet the large volume of open contracts still in May or whether contracts will need to be closed on the futures market.

  • UK export markets remained quiet last week. Prices moved in response to lower French prices. Export interest was reported to be limited last week, despite the lower values.

  • A weaker French market meant that UK wheat still did not gain competitiveness on Continental markets Indeed, reports suggest French wheat is being shipped to Ireland.

  • Many shippers still see a large wheat surplus (200,000 to 600,000 tonnes, compared with the current MAFF estimate of 400,000 tonnes) despite recent price developments.

    HGCA Taken from HGCA weekly MI Bulletin
    To contact the HGCA phone 0171-520 3972
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