For the Future of Farming

29th May 2024 Commodity Market Report

Markets in the US will be focusing on weather heading into the summer, if mid-June is too hot it may stress crops.

Afbeelding: Commodity report exchange rate graph 29-05-24
  • Sterling is stronger against the dollar week-on-week, 0.8 cent versus $.

Proteins

Soya

  • Soyabean harvest now 91% complete in Brazil’s flood impacted southernmost state up from 85% last week.
  • Extreme tightness in soya meal supplies in UK and EU keeping meal market supported nearby.
  • Argentine soybean crush ramping up as their harvest progresses but farmers slow sellers.
  • Cargill has mentioned last week the funds were still adding to their already-large, long positions.
  • Longer term market is more bearish, subject to US weather being positive for growth.

Rapemeal

  • ADM has mentioned recent frost damage in Russia has impacted rapeseed crops in the area and surrounding countries.
  • Old crop supply continues to be tight.
  • Ukraine’s rapeseed crop estimates have fallen to 4.1 million tonne from 4.7 million tonne last year.

Cereals

Wheat

  • Canada’s 2024/25 wheat crop pegged at 34.3 million tonnes, +7.5% year-on-year basis more acres and higher yields.
  • The IGC cuts its forecast for 2024/25 global wheat production with Ukraine and Russia downgraded.
  • Dryness persists in Russia and their wheat crop estimates fall, IKAR now at 81.5 million tonnes vs 91.5 million last year.
  • Ukraine wheat harvest estimated at 19.1 million tonnes vs 23 million last year.
  • In France, May has been the wettest and coldest in 30 years - a flag for yield potential.

Barley

  • UK exports quiet as buyers find better value in EU origins.
  • Key driver for barley now will be farmer selling.

Maize

  • The IGC cut its forecast for world corn stocks at the close of 2024/25 by 10.4 million to 281.0 million tonne largely on weakened estimates for Argentine and US supplies.
  • Prices a touch volatile as uncertainty over South American production.
  • Good demand from US ethanol.

Fertiliser

  • To compound the recent increase in Egyptian urea prices, all producers in that area have now been given a directive by the Government to cut production by 20% due to natural-gas shortages.
  • Chinese export restrictions are still in place. Easing may eventually add some stability to recent price hikes, but it is unlikely in the short term.
  • After new season prices for AN emerged in Europe last week, there are reports from France which, following a good uptake in June prices, have now moved up by a further €15 for July delivery.
  • The ammonia market is still looking strong while gas futures have continued to climb over the past three months.
  • Aside from pockets of demand, straights remain relatively stable at both a global and UK level.
  • Sterling has strengthened against the Euro and USD, which should apply downward pressure on fertiliser imports.

Forage

Maize

  • Looking to still sow some maize seed? KWS ultra early variety available for later sowings.
  • Pioneer Extra Early P7179 and very early P7381 available for despatch.
  • Looking to sow after grass? – KWS Temprano + Force available.
  • Please look at the many maize varieties we have available

Roots

  • Brassica crops can offer an additional extended summer feed option or for finishing lambs including stubble turnips, forage rape, swedes, hybrid brassicas and root mixes.
  • View our root brochure here.

Sustainable Farming Incentive

  • Are you wondering what are the best options with regards to the Sustainable Farming Incentive? 
  • Contact us to discuss options.
  • Looking at SAM3 herbal leys? We have a number of options available to ensure that production is not compromised.
  • Request a copy of our environmental brochure.

Co-products

  • Have you thought about the benefits of feeding a liquid co-product? 
  • Wheat syrups offer a quality source of protein and energy and can be a cost-effective solution to your feeding requirements. 
  • Sedagold Syrup is a highly palatable, high energy and protein liquid which can drive intake with good sugar levels and a fresh aroma. 
  • Both total and partial mixed rations can be enhanced as Sedagold holds the meal and fibre, ensuring your ration stays thoroughly mixed and the ability to sort the ration is reduced. 
  • Loads are delivered nationwide in full 28t tanker loads.
  • Please contact a member of our team for pricing and availability.

Weekly currency trend

£1.278/$ - mixed

£1.174/Euro - mixed