Spring Grain Market Outlook roundup

Yesterday we held our AHDB Spring Grain Market Outlook webinar. If you missed this, don’t worry! Some key messages are summarised below. You can also watch the recording too, using the video link.

Market outlook remains bullish for cereals and oilseeds​

There may be little surprise that we are heading into next season with a tight supply and demand balance for global grains and oilseeds. As such, this will likely support prices at a high level into next season across the board. While some harvest pressure should be felt, there is fundamental support and a strong floor to the market.

The war between Russia and Ukraine is a key factor in further tightening global wheat, maize and sun-oil supply specifically. This is playing into difficult trading dynamics as well as contributing to higher prices.

In the domestic market, a tight supply and demand picture is also true. The domestic market is following global market movements closely.

UK Crops in the ground do look to be in good condition. However, but with a challenging global market, wheat imports could be more difficult next season. Demand for grains is a watch point in terms of the bioethanol industry, as well as squeezed livestock margins.

A more detailed outlook for grains and oilseeds will be published this Thursday and Friday.

No silver bullet to offsetting high input prices​

Mark Topliff gave a very interesting insight into how to manage high input prices, especially relevant this year regarding fertiliser prices.

Short term strategies include shopping around for inputs and adjusting fertiliser and chemical application rates and timings. Medium to long-term strategies to manage input costs include reviewing your rotation, cover crops and benchmarking.

Tools are available on the AHDB website to help.

The Sustainable Farming Incentive​

David Swales presented some findings on the Sustainable Farming Incentive, walking us through the introductory and intermediate requirements for the scheme.

Using some example farms, David explains net payments and costs for example farms over a three-year period when joining the scheme.

To find the full report, you can access this here.

To watch the full webinar please use this link:


Today's Grain Market Daily on the AHDB website - Spring Grain Market Outlook roundup

For information on price direction make sure to subscribe to Grain Market Daily and Market Report from our team.
 

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