Straights market sees little forward buying

By FWi staff

SOYA prices have fallen again this week as the market remains quiet, experiencing a distinct lack of forward buying.

Many within the industry are doubtful if farmers will buy forward at all this year, and will rely instead on the spot market, due to the uncertainty that surrounds the use of GM ingredients.

Soyabean meal hi-pro fell £4/t over the week to £128/t. This follows its drop of £9/t last week on the back of news that US farmers were well under way with plantings.

The South American producers have had a good harvest, and this is now on its way over to the UK, said Peter List of Dalgety.

He believes that this, combined the with high plantings in the USA, has contributed to the depressed market.

Home-produced maize gluten has been removed from a number of price lists this week on the back of technical difficulties. Supplies have run out on the East coast and are very thin on the West.

New shipments are expected in mid-June but, until then, Mr List would not recommend farmers to purchase maize. “Soya will also drift further,” he said.

The one commodity that Mr List believes farmers would be worth taking cover of is rape meal which, he says, has hit its bottom now.