Grain transport hindered
Demand for local wheat due to strike
The railway strikes in France have serious consequences for the French agricultural sector. Potatoes and grain do not leave the ports. However, the situation has a positive effect on Dutch wheat.
Ships with wheat from France do not arrive in the Netherlands on time, so wheat is bought on the local Dutch market. The Agricultural Fair North and Central Netherlands (LNCN) therefore recorded a price-holding vote for wheat in week 17. The wheat price rose by €2 to prices between €164 and €168 per tonne.
According to the French Wheat Growers Association, the cost of transporting wheat is currently very high. The transport would cost between €5 and €20 per tonne. This while the prices for French wheat in Rouen are already quite high (€158 per tonne).
Alternatives tricky
Trade in France in particular has been hit hard by the transport problems† They cannot get the grain to its destination via other routes, because the water level on the Seine makes transport by water difficult. In addition, there are also too few truck drivers available.
It has had little effect on the international wheat markets because there is more than enough grain available everywhere. The strikes are expected to continue for the foreseeable future (certainly up to and including June).
Anne-Jan Doorn
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