Wheat
Markets this week have been generally more settled with harvest progressing in Northern Europe and overall grain S&D figures looking in balance. Grain markets will continue to be very reactive to any wider geopolitical stories but at the moment focus seems to be on getting the grain in. The UK is still on track to bring in a healthy 15.5 MlnT with around 37% of the wheat harvest now done, behind on the average for this time of year of 56%.
Soya
Soya prices are lower on the week with US crop tours due to start shortly which will give the market clearer direction. Around 38% of the crop is still considered in drought, down on the original figure of circa 60% but we are now nearing the end of the critical pod filling stage. Further ahead though the South American crop due to be planted will temper prices.
Organic
Organic grain has just moved up slightly from the bottom we have been trading at over the past few weeks as expected. There are reservations about how easy shipping will be in this area now that the safety net of the grain corridor has been removed.
Some Indian sources of soya are beginning to get their certification through and plan shipments to the UK for the later part of the year but premiums are still quite high and do not quite tip the favour back to Indian now that most mills have had to make the choice to switch to Chinese.
Regards,
Kay Johnson & Martin Humphrey
