Wheat prices take a tumble
DELIVERED old crop feed wheat prices fell around 9/t, whilst new crop wheat prices fell between 50p-1.00/t. Feed barley values range from unchanged to 1.00/t lower.
Old crop wheat values fell sharply last week to a level closer to new crop prices. Improved weather conditions combined with re-selling by long-holding
consumers dragged prices lower.
Despite the severe price swings, traders reported a relatively quiet week, as producers were mostly concerned with crop harvesting rather than crop
marketing.
New crop barley prices continue to find support, being around 4.00/t above wheat values. This is largely due to strong demand at ports for UK barley and pressure on wheat values from an uncertain crop quality/quantity.
The UK grain export market experienced another quiet trading week. Some interest was reported for some milling grades of wheat but with the current milling premium over feed wheat at a wide range of between 2.25-3/t trade remained negligible.
FOB barley prices gained some support from export interest for nearby positions during the week. However, with the harvest just getting under way, little material is currently offered on the markets, keeping the barley market equally quiet to that of wheat.