Black Sea feed grain and US corn glut set prices

BLACK Sea grain exports have undercut early harvest prices in the EU again this year, hitting tillage profits, but keeping a cap on animal feedstuff prices.

Grain production in countries like the Ukraine was hit by drought last year; but exports of their 20m tonnes crop in 2002 left growers in Ireland and other EU countries fearing for the future.

Two years later, UK wheat growers are now bearing the brunt, with November wheat futures driven under €100/t, or just over €90 ex-farm.