Feed barley prices cant fall further, say traders

By FWi Staff

STATIC feed barley prices are unlikely to slump further with intervention looming in the background, say grain traders.

The market for feed barley remains unchanged this week at £63/tonne, while spring varieties have crept up slightly at £85-£90 ex-farm for September delivery.

Maltsters are waiting until the Danish crop is harvested before buying, said Robert Leachman of the Malting Barley Company, Wiltshire.

“The Danes have only cut 50% of their spring crop and results so far indicate that that some areas have been hit by the cool weather conditions,” said Mr Leachman.

“If Denmark doesnt come through with the quality, then there will be good export opportunities for the UK.”

Mr Leachman added: “If farmers would sell, exports could be made. There have been a number of enquiries about Regina, and spring barley movements for January look promising. However, exporters are reluctant to make sales with the lack of movement off farms at present.”

Chris Barnes, of Fen Grain, March, Cambridgeshire, recommended that producers with quality barley should make an offer for intervention in November. “But be sure to have the quality checked to risk disappointment on movement,” he said.

But trader Andrew Dewing, of Aylsham Grain Marketing, Norfolk, said that it might pay for growers with enough storage space to hold on to their grain for the moment and watch the market closely.

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