Bethan Wilkins


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Home \ Prices & Stats \ News \ 2015 \ December \ FEED MARKET UPDATE - 09 DECEMBER 2015

Read our latest summary of developments on global markets for cereals and oilseeds.

Last week, exchange rate changes impacted on grain futures prices causing a divergent trend between European and US priced grains. May-16 UK wheat futures prices closed slightly down (£0.85/t) on the week yesterday (8 Dec) at £116.80/t. On the other hand, Chicago wheat futures prices closed up week on week at on Tuesday while Chicago maize futures prices (May-16) were unchanged Tuesday to Tuesday. Latest usage figures released by Defra last week records wheat inclusions in animal feed production in GB down in October compared to October 2014, while barley and maize usage increased. Nevertheless, so far this season (July-October) more wheat was used to produce animal feed, while less barley and maize was included compared to last year. 2015/16 was a record year for French soft wheat production at 41Mt. But early indications for planting for harvest 2016 suggest that the record could be matched or even beaten, depending on yields. In the UK despite the later than usual end to harvest, mild and drier weather conditions at the end of September and through October meant most winter cereals were planted by the end of October according to ADAS’s 2015 Autumn Crop Report.

On Tuesday Chicago soyabean and Paris rapeseed futures prices (May-16) closed down on the week. With expectations of large amounts of Argentinian soyabeans coming to the market, Chicago nearby soyabean prices fell on Monday (7 Dec) by over $10/t from Fridays (4 Dec) close. December UK rapemeal (34%, ex-mill, Erith) was down £2/t at £146/t on Friday compared to a week before. However, on Friday, Brazilian soyameal (48% ex-store, Liverpool) was up £5/t on the week to £264/t. Hi-pro (ex-store, East Coast) prices also recorded an increase, of £7/t to £252/t on Friday. Domestically, ADAS’s latest Crop Development Report for autumn 2015 suggested that almost all winter oilseed rape (OSR) crops are in good condition heading into winter. Cabbage stem flea beetle (CSFB) though remains a key priority for farmers. The mild conditions and moist seedbeds have allowed the winter OSR crop to establish very well during the autumn.

To read more about the latest developments in the feed market click here.