EU Wheat Mixed, Rapeseed Jumps

Posted by Nogger - a legend in his own mind at 16:37 | Categorized as

17/04/12 -- EU grains finished mixed with May 12 London wheat down a whole five pence to GBP176.45/tonne, whilst new crop Nov 12 added GBP0.65/tonne to close at GBP153.50/tonne. May 12 Paris wheat ended EUR2.50/tonne higher at EUR211.75/tonne, Nov 12 was EUR1.25/tonne firmer at EUR200.00/tonne.

UK Customs data reveals wheat exports of 212,700 MT in February, bringing the 2011/12 marketing year to date total to just under 2 MMT, which is almost 12% down on the same time a year ago.

UK barley exports are ahead of last season by 7% at 648,700 MT and rapeseed shipments are more than double where we were a year ago at 643,500 MT.

Spain took 57,400 MT of the February wheat shipments, with the Netherlands receiving 48,000 MT and 47,250 MT going to the US - the fourth such consignment in a row.

Russia have exported 18.5 MMT of wheat by April 15, and will finish the season exporting a total of 20.5 MMT, according to the Russian Institute for Agricultural Market Studies. That matches the current USDA forecast for 2011/12 and would be a record volume.

Rapeseed prices jumped, with May 12 closing within a whisker of the EUR500.00/tonne mark at EUR499.50/tonne as South American soybean production estimates keep getting trimmed. Oil World lowered their Argentine soybean forecast to 44 MMT and cut their Brazilian soybean production estimate to 65 MMT, both are 1 MMT below the USDA's latest figures.

Oil World also cut their forecast for EU-27 rapeseed production this year by 700,000 MT to 18.5 MMT, a reduction of 3% on last season. Various sources are reporting significantly worse than anticipated losses across the winter to drought, winterkill and assorted fungal diseases.