Free-market wheat refund at zero HGCA

Tuesday, 16 May, 2000

  • European wheat prices were largely down this week as the low MANCOM award on 4 May influenced the market. This was the first meeting for quite some time where the free market wheat refund was set at zero.
  • European malting barley markets were very quiet, seeing very little trade in either old or new crop. Eastern Europe however, has continued to be a buyer, purchasing some Austrian malting barley over the week.
  • French wheat prices were down last week as demand tailed off. The lack of a free-market export refund implied that the export campaign for this season was over.

    ONIC, the French cereals office, has reduced the French wheat carryover for 1999/00 by 3.4 % to 7.19 million tonnes.

  • German markets are becoming influenced by harvest 2000 prospects. Price rises are being curbed by hesitant processor buyers and slightly larger than expected supplies still being offered.

    Malting barley trade has been reported as negligible. Offers into intervention as of early May is at 4.4m tonnes of which 4.3m tonnes have been accepted.

  • Spanish maize prices were unchanged last week as it has yet to see any of the reduced-levy maize, which is expected to arrive in coming weeks and pressurise prices. As at 8 May, a total of 460,000t of maize had been awarded, with almost all of it expected to be from Argentina, apart from 13,500t due from Hungary.
  • Italian grain prices were firm last week. Maize prices in Milan were up Euro3.10 on the previous week. The price rise has been attributed to a tight supply, as producers remain reluctant sellers.
  • Euro1 = 60.4p at time of writing.

    Taken from HGCA weekly MI Bulletin
    To contact the HGCA phone 020 7520 3972

    Click here to visit the Home-Grown Cereals Authority

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