Grain prices continue to rise, with recent days bringing the biggest increases in some time. Imported maize increased by €10/t in the past week, giving an ex-port price of €215/t early this week. This price level leaves native wheat and barley as good value going forward.

Prices finalised

Nearly all the co-ops finalised their green grain prices over the past 10 days and the biggest buyer, Glanbia, released its prices on Tuesday night. Inclusive of supports and trading bonuses, Glanbia is to pay €160/t (ex-VAT) for green feeding barley (20% moisture) and €181/t for green wheat.

Other all-inclusive green barley co-op prices include Dairygold €157/t, Centenary €159/t and Barryroe €163/t.

Green wheat prices range from €181 to €188/t, with the bigger number paying €183/t.

Dry prices also benefited from the general rise in futures prices. Dry wheat is now up into the €210 to €215/t range, depending on position. There is very little demand for immediate consumption and the higher end of this price range is into the new year.

It is important to note that Paris MATIF futures continue to show falls in every forward position, so there is very little prospect of better prices for further-out positions currently, and a May price offer is unlikely to pass €215/t.

Barley price has also lifted clear of that stubborn €180/t shackle which restrained it for weeks. Nearby barley is now in the €185 to €190/t bracket, with the lower price being discounted for immediate movement. Deals which offer flexibility on movement are likely to be closer to €190/t.

Barley prices are still being restrained by UK imports, but when these cease from January prices may head above €200/t.

Oilseed rape prices remain strong also, with MATIF November prices remaining above €390/t, leaving native dry crop at around €385 to €390/t.

Main drivers

Weather continues to be a major factor in market sentiment for both wheat and maize. This is to do with dry conditions delaying planting of wheat (Black Sea and US) and soya beans (Brazil).

The latter is driving soya prices, as this could delay delivery. A delayed soya harvest would delay planting of the following safrinha maize crop and this could hit yield, thus it is affecting maize markets.

Overall global supply is also increasingly tight, as strong Asian demand continues. There are also concerns about maize losses in the US following hurricane Delta. And forecasts for Argentinian wheat production are decreasing.