Cereal price hike of 50% brings to an end three-year downward trend

CEREAL prices have shot up by 50% in recent months ending a three-year downward trend.

This represents a huge boost to grain growers who will get paid substantially more for their grain.

The downside is the price increases are expected to hit a wide range of food products, dependent on grain. Poorer crop returns, bad weather including serious droughts in Russia and elsewhere have hit grain supplies.