Grain rises further on yield and quality worries

Wheat prices have firmed again this week on yield and quality fears, combined with crop news from other countries.

Harvest feed wheat was at £190 to £195/t ex-farm on Tuesday and the London November 2012 feed wheat futures contract closed up £4.50/t at £206.50/t yesterday.

UK wheat yields are estimated at about 30% lower than average and specific weights are the big issue for most buyers as the trade assesses what it is likely to get and what it may be able to deal with.

A tour of the American corn belt confirming crop damage from the drought was behind sharp increases in US wheat, maize and soya futures prices yesterday while the Russian government expects yields across its grain crops to be down by 27.5% on last year, with just over half the harvest in.

For more on this topic

Video: US drought

Harvest news with Harvest Highlights