Grain Production Down While Consumption Remains High
A mixed tone has prevailed across world grain, oilseed and rice markets during the past month.
In the UK, the first winter barley has been cut and the yields have been between 2.5 and 4t/acre. Spring crops in the UK are looking average to good and the UK may be on track for a big surplus. The French winter barley crop is approximately 40% complete. Overall yields and quality are average.
While average maize and soyabean values weakened on the back of a comfortable outlook for nearby supply, wheat and barley prices moved higher based on deepening worries about spells of dry, occasionally hot weather.
With crop forecasts being trimmed amid adverse weather, grains production in 2017/18 is expected to decline by 4% year on year.
Meanwhile, consumption is remaining high and stocks may contract for the first time in five years.
Grains trade in 2017/18 is staying close to record levels, underpinned by strong shipments of wheat and maize.
Read a full IFA Grain Maket Report with detailed breakdowns for Wheat, Barley and Rapeseed