Feed market update - 24 February 2016
Read our latest summary of developments on global markets for cereals and oilseeds.
UK feed wheat futures (May-16) closed £1.30 down on the week on Tuesday at £105.50/t. Chicago wheat futures prices closed down as well and Chicago maize futures prices were also slightly lower on the week. Estimates of surplus French soft wheat supplies were raised by FranceAgriMer in light of lower exports to countries outside the EU; a reduction in shipments to Egypt is likely to be the main cause of the decrease. Ex-farm feed wheat prices in Scotland and eastern England have continued to narrow through the season compared to UK feed wheat futures. This has made it more favourable to deliver wheat in these areas to futures stores rather than into the delivered market.
May-16 Chicago soyabean futures prices closed on Tuesday at $320.74/t, which is a week on week decrease of $3.49. Paris rapeseed futures (May-16) prices also closed down at €354/t, a drop of €2.75. As at Friday, UK rapemeal (34%, ex-mill Erith) for March delivery was £138/t which is down £4 from the previous Friday. However, Brazilian soyameal (48%, ex-store Liverpool) also for March delivery was £260/t, an increase of £3 week on week. The Ukrainian sunflower harvest area is forecast to exceed wheat for the first time, according to UkrAgroConsult. Chinese imports of soyabeans slowed in January but they remain ahead of last year’s pace for the season so far.
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Isobel Robinson, Analyst
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