Auto Trader Ltd
Farminguk
31 May 2016 | Online since 2003
Briefing Media - FG Classified


10 December 2012 11:16:00|

Lack of UK crop leads to European imports


International overview
The Pulse market in Canada remains strong. Peas and Beans are in short supply and a 20-30% increase in areas is forecast. Harvest was earlier this year due to early sowing, and a decrease in area expectations has combined with a reduction in yield/ha. The general forecast for the coming year is of increased production - but for lower total availability - as their stock carryover reduces.
Strong demand from the Indian market and general world demand is maintaining market values. India’s rapidly expanding population continues to undersupply the domestic food production requirement and, like the UK, India is pursuing wheat and oilseed crops at the expense of pulses, driving the continued demand for imports. Canadian, US and French pea production head east to fill the gap.
The FT recently published the cost of feed wheat in the futures market rising 45% since January 2012 to £227/t - further indication of a strong demand for food commodities by the world’s ever-growing population.
Feed Beans
Feed bean values have risen to around £290/t ex farm, encouraged by the increasingly high price of wheat +/- £225/t and Soya beans now topping £500/t with SBM at just short of £300/t. This apparently inseparable conundrum continues to hold back the wider use of beans and peas from the feed formulators armoury.
Lack of available UK crop has lead to imports from various European sources. The interest in spring planting of beans is tremendous and reports of beans being the most profitable crop in the rotation for the last two years will not have gone unnoticed. Growers struggling with cropping plans and the need for wider rotation improvements cannot fail to be attracted by gross margin reports in excess of £1500/ha.
As volume is anticipated to rise, 2013 crop will likely carry a lower premium of perhaps £20- £25/t over feed wheat.
Human Consumption Beans
There has been little export activity to date. High prices from the UK (buoyed by high quoted feed prices and short positions) are diverting buyers in Egypt towards the new crop from Australia. The French report exports to Egypt of 206,000 tonnes for 2011/12, with Australia reporting expectations just shy of around 185,000 tonnes.
Australian crops are of good quality - offered at a significant discount to the UK produce. As Australian crop shortens, however, its price should rise opening the door for UK crop. Growers’ need for cash in the New Year may drive some UK product to a more competitive edge. The market in Sudan appears well supplied with stocks already and, with import licences set to close at the end of February, this market presents less of an opportunity now than it may later in the spring/early summer.
Combining Peas
Pea prices are heading up on the back of shortage and strong international demand - and £400/t has been reached. With few sellers, the UK acreage is at a very low ebb. But with restricted options available for spring cropping, and with prospects for good returns on fixed price contracts for successful growers, there is a renewed interest in peas. Seed supplies permitting, growers in suitable locations are showing serious intent for 2013.
Marrowfats
Again a tale of short supply with quality samples being hoovered up by the Chinese and Japan – it appears that the best of what is available worldwide are to be found in the UK.

Download





0 Comment


loginuserlogo
Name

Please enter your name


Email

Comment

Please enter your comment


Post Comment

Your comment submitted successfully.Please wait for admin approval.


Comments

No comments posted yet. Be the first to post a comment

World News

Canada | 27 May 2016
Southern Ontario farmers launch their own weather network

Southern Ontario farmers are building their own weather network to more accurately record how conditions will affect their crops. The AG Grower Daily Dashboard project is designed to give farmers h...


Australia | 27 May 2016
National Australia sees farmers seeking loans to weather crisis

National Australia Bank Ltd., the nation’s largest lender to farmers, is expecting its dairy clients to seek short-term credit to assist them as slumping milk prices have thrown the industry into a cr...


USA | 27 May 2016
Central Indiana county approves livestock farm restrictions

A central Indiana county has approved new restrictions on big livestock farms limiting where those farms with hundreds or thousands of animals can be built. The ordinance approved this week by the ...


Ireland | 27 May 2016
Dairy farmers' income plight in spotlight

IFA president Joe Healy, who met with EU Agriculture Commissioner Phil Hogan in Brussels, said the majority of dairy farms will be in the red this month. He urged the Commissioner to act without de...


Canada | 27 May 2016
The changing face of Canada's farm industry

Mapping the evolution of Canada's farm industry is not as simple as just examining the numbers. Every five years, Canada's federal government asks us to provide details on who lives in our househol...



Trending Now

Viewed
Discussed

Farms and Land for sale

PropertyLocation
PropertyAgent
PropertyMinimumPrice
PropertyMaximumPrice
PropertyCategory

Holiday Rentals search

AccommodationKeyword
AccommodationType
AccommodationCounty
AccommodationStarRating


Top stories you may have missed
closeicon
Username
Password