Strong Pound, poor demand depress UK cereal prices

  • Delivered UK cereal prices closed lower last week.

    Bread wheat prices fell by around 1.50/tonne,
    feed wheat prices closed 2/t lower.

  • Delivered feed wheat prices have now fallen around 4/t since early October, pulling milling
    wheat prices lower too.

    A combination of the strong Pound, limited consumer buying demand and sufficient farm grain being made available has
    pressured UK prices lower.

  • Bread wheat premiums over feed have also fallen,
    from around 19/t early October to 16/t last week, basis Liverpool.

    Brokers suggest the price fall reflects the ready availability of suitable wheat in the marketplace and cautious buying from the milling industry.

  • Despite ex-farm prices now being under 60/t across the country, merchants report steady but continued farm grain sales.

  • Euro1 = 57.60p, 1 = Euro1.736 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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