Feed and milling wheat values see small rise

Feed wheat markets increased marginally in the week to 16 September, up 50p/t to £100.30/t ex-farm for spot movement.

Milling wheat values also rose slightly, up 40p/t to £118.80/t.

According to the latest Adas report 70% of the UK wheat crop had been harvested by 8 September but quality – particularly Hagbergs – had deteriorated.

Yields remained above the 10-year average at 8.5-8.7t/ha.

The USDA increased its estimate of global wheat production by 5.1m tonnes to 731.6m tonnes, with global wheat supplies for 2015-16 up 6.7m tonnes.

See also: More market prices and trends

The increased production was primarily in the EU and FSU, partly offsetting reductions in Canada and India.

EU production rose more than expected, up 6.3m tonnes to 154m tonnes, due to bumper yields, with the French crop reported at a record 40.7m tonnes.

Russia and Ukraine estimates increased by 1m tonnes each, to 61m tonnes, and 26.5m tonnes, respectively.

“While feed use is also up, this is not enough to catch up with higher global supplies, so world ending stocks are up by 5.1m tonnes to 226.6m tonnes,” said an AHDB report.

“This is over 5.5m tonnes higher than the highest estimate of a Reuters’ pre-report poll, signalling downward potential pressure for wheat prices.”

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