American maize troubles boost Irish grain prices
IFA National Grain Committee Chairman Noel Delany said: “Irish grain prices firmed further in recent days, as the US maize and soybean yields are revised lower with each passing week. World prices continue to edge higher, despite higher than expected EU and Russian grain yields.”
“Irish growers who tipped and stored grain during the harvest are achieving €7/t to €10/t over official green quotes in addition to free transport. The continuing strong demand for farm-to-farm grain has also helped to raise the floor price for native grain this harvest. Irish grain is extremely well priced against compound feeds and offers the best value-for-money concentrate feed on the market. Farmers should continue to hold out for increased prices, as the market has the potential to rise further, given the deteriorating health of the US maize and soybean crops.”
“The changing sentiment towards grains is being driven by crop fundamentals and this should see prices rise further over the coming weeks as the harvest moves to a close in the northern hemisphere. Irish grain farmers should not lock in at the current low on-account price offers, as there is significantly more available in private deals.”
The harvest has been virtually completed in southern counties in near ideal conditions, but about 15% of crops are estimated uncut in the northeast and midlands.
Some growers have achieved record barley yields, said Teagasc Programme Manager for Tillage Crops and Renewable Energy, Jim O’Mahony. Spring barley, with about 60% of the grain and break crop acreage, yielded up to 4.5 tonnes per acre, but is predicted to average about 2.7t, compared to 2.6t over recent years. Winter barley yields are expected to be 0.5t ahead of the 10-year average, with some farmers achieving nearly 5t per acre. But winter wheat results have been “very mixed”, said Mr O’Mahony, and he predicted these results may lead an acreage switch from winter wheat to winter barley, as growers turn their attention to planting.
Prices are the disappointing feature of the harvest, he said, back about €50 on last year — which could result in non-profitable crops for farmers who overpaid for rented land. He said the strong early demand for straw has eased.
