Feeders set for lower wheat prices
He indicated that pig farmers are unlikely to be hit by a repeat of the largest monthly rise in international wheat prices since 1973, which occurred in July, 2010, in tandem with a substantial rise in barley and soya bean prices.
This resulted in the composite pig feed price in Ireland increasing 33% from July 2010 to July 2011, and a financial loss in most Irish pig units for the 12 months to last September.
This time around, the very promising wheat harvest, especially in the Black Sea region, should lead to a moderate fall in the wheat price, according to McKeon.
The supply of barley will be slightly tighter then in previous years resulting in a decreased price differential compared with wheat.
The maize supply is expected to be tight for the next 12 months. Closing stocks are expected to be at a minimum in 2012, which will maintain prices on a relatively high plateau.
