Rocket Man

19/05/11 -- With the market still digesting yesterday's French crop production reductions from Agritel and Strategie Grains, the German farm co-operative group DRV have come out with some sharp cuts of their own.

German soft wheat output this season is now seen at 22.3 MMT, down 2.2 MMT from their previous forecast and 7.5% down on last season's far from perfect crop. Barley production is seen down 14.4% to 8.9 MMT and OSR output is now only expected to amount to 4.4 MMT, a drop of 22.8% on last year.

EU grains are sharply higher for a second day this morning, with Nov London wheat currently up GBP7.50/tonne for a gain of over 13% on the week so far.