Wheat prices edge up – HGCA


  • Delivered wheat prices generally higher

    Delivered wheat prices were around 1-2/t higher over the week, with traders reporting spot domestic demand robust and farm supply limited at present.

    Old crop LIFFE wheat futures were 3-4/t higher, with new crop up over 1.

    Over the week, the Euro slipped nearly 1p against sterling to around 61.50p. This meant May LIFFE wheat, in Euros, rose E7 to E117/t.

    Meanwhile, MAFF revised domestic wheat use in the animal feed sector up by 176,000 tonnes to 6.45m tonnes in the March revisions to UK S&D. See www.hgca.com

  • UK trade statistics – January EU and February non-EU
    Wheat exports to EU countries during January reached 320,000 tonnes, taking end-January total cumulative exports to EU and non-EU to 2.35m tonnes.

    February non-EU wheat exports reached 102,000 tonnes. Meanwhile, February non-EU barley exports were recorded at 124,000 tonnes.

    HM Customs now supply HGCA as a priority with summary trade data prior to release of the full monthly breakdown.

  • Guidelines on fieldwork during foot-and-mouth – MAFF
    MAFF published guidelines on Friday for growers of crops and grass during the foot-and-mouth outbreak.

    There are important basic precautions with regard to farm access and movements
    that should be noted by all arable farmers.

    For those outside of infected areas, without susceptible livestock and not using manure from them, no additional restrictions apply and fieldwork can proceed as normal.

    For other farms, stronger precautionary measures are required. The guidance note is available at www.maff.gov.uk

  • Foot-and-mouth disease and livestock slaughter
    Commercial slaughterings of cattle, sheep and pigs reached around 400,000 the week ending 17 March.

    This is up around 30,000 on the first week of the livestock direct to slaughter scheme but still around 235,000 below the pre-foot-and-mouth weekly slaughter level.

    With data now available for the first 3 weeks of foot-and-mouth, commercial slaughterings were around 1m head below what they would have been without

    Meanwhile, to 1 April, 0.94m animals had been slaughtered or identified for slaughter under foot-and-mouth measures. See www.maff.gov.uk

  • FMD cases – only one new county since 17 March
    Friday saw a case confirmed in the West Midlands. Prior to this, there had been no new cases in new counties since 17 March. County data available at www.maff.gov.uk


  • Euro slips Friday on Friday – no cut in EU rates
    The Euro slipped below 88 US cents at one point last Friday, but generally traded around 88 US cents, 1 US cent down compared to last Friday when it was over 89 US cents.

    The ECB decided to leave interest rates unchanged last week, despite concern that economic growth needs to be sustained.

    The Euro also lost value against Sterling. See www.ecb.int


  • CBOT wheat down another $2.50, maize down around $1
    CBOT wheat ended the week lower following initial gains early in the week.

    Suspected foot-and-mouth cases in the US (later negative) and an exception on the Brazilian import ban on Argentine agricultural goods for wheat all pressured the market.

  • US wheat area expected lowest since 1973 – NASS of USDA
    The USDA prospective plantings report puts the US total wheat area at 24.4m ha,
    down 0.9m ha on last season and the lowest since 1973.

    Although winter plantings had already been declared low, this report provided the first official forecast of spring plantings. These were put at 6.3m ha, up 0.1m ha on last season.

    The US maize area was put at 31.1m ha, down 1.2m ha on last season. The report sighted high input costs and low price expectations as cutting prospective plantings. See www.usda.gov/nass for the full report.


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

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