Irish cereal farmers set to benefit following Russian grain exports ban
The ban, expected to remain until the year end at least, was announced by Russian Prime Minister Vladimir Putin as his country battled its worst drought in a century.
Farmers in Ireland hope the global demand will increase the prices they get for their grain, after being paid below the cost of production in the past two years.
Irish Farmers Association Grain Committee chairman Noel Delany said yesterday a minimum green barley harvest price of €140/t is achievable with €10 to €15/t over for wheat.
“Dried barley prices are ranging from €165 to €170/t, with wheat trading from €178 to €185/t for harvest collection.
“Buyers will attempt to talk down prices in the coming days as harvest pressure builds. However, with good weather, low moistures and easy harvesting conditions farmers should not be in a rush to sell,” he said.
Mr Delaney said it is becoming abundantly clear that Russia will become a net grain importer as the full extent of the devastating drought on crop yields in the region unfolds.
“Official estimates put the harvest at between 60-65m tonnes. That’s 35m tonnes below last year. Black Sea countries have set world grain prices over the last few years, aggressively discounting competitors’ prices,” he said.
“Russia’s absence from the export market will see the base price set for grain in recent days maintained for the coming marketing year,” he added.
The IFA man said grain still is the most competitively priced feed as the cost of other feed ingredients such as citrus, corn gluten and palm kernel have risen by €30 to €40/t in recent weeks.
Farm to farm trade, despite recent price rises, still offers the best value feed for livestock feeders, he said.
Mr Delany urged farmers must hold out for a minimum price of €140/t for green barley (20% moisture, excluding VAT) and €10 to €15/t over for wheat.
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