Agriphoto

Inside Cereals

Early wheat is not disappointing, just like the price

26 July 2021 - Niels van der Boom

A low hectolitre weight was estimated prior to the wheat harvest. The first loads of wheat were delivered last week throughout the Netherlands. The first reports are positive. The hectolitre weight is average to good and the yields are not disappointing either.

Would you like to continue reading this article?

Become a subscriber and get instant access

Choose the subscription that suits you
Do you have a tip, suggestion or comment regarding this article? Let us know

This only concerns the first hundreds of tons that have been received. Especially on Thursday and Friday, arable farmers in central and southern Netherlands gradually brought in the first loads. Where traditionally the wheat harvest shifts from the south to the north, a scattered start is visible this year. "We received wheat from all our work areas last week," says Jurriaan Visser. He is grains manager at CZAV.

Ripened quickly
Agrifirm has also received the first few hundred tons, which were mainly combined on Friday. "The hectoliter weight starts at a longer level than what we are used to last year," says Aart den Bakker of the cooperative. "Where it started between 77 and 80, it is now 71 to 77. Initially we were positive about the wheat harvest because the growing season had no drought issues and the crops were able to continue growing well. However, ripening went very quickly. In 2 weeks from green to dead ripe."

Given the limited volume, it is difficult to make firm statements about the revenues. "The next two weeks are also important," said Den Bakker. "They predict changeable weather and that can have an impact on the hectoliter weight. If it is stealing, supplying one percent more moisture may be more rewarding than dropping the hectoliter weight too much."

Great start
In the southwest, Visser is positive about the yield, although here too it remains a bit like coffee grounds. "The first reports are just good." CZAV was surprised that the first wheat was harvested at the end of July. "We see this season that all crops are about 1 to 2 weeks later. The early moment may be due to the combination of moisture and sun. More early varieties have also been sown." The wheat that CZAV has received has an average hecoliter weight of 77 kg. Visser is satisfied with that. "In fact, all kinds of milling and baking wheat are grown in the southwest. 77 kg is above the standard, so that's fine."

Supplier Van Iperen also received several loads of wheat at their locations in the southwest. "The early varieties were simply well ripe, with delivered moisture percentages between 15% and 16%," says grain buyer and seller Arjan van Belle. "We expected a slightly later start to the wheat harvest. It remains to be seen when threshing can start again. The weather will remain changeable for the time being."

Higher prices for wheat, not straw
The price level is significantly higher than a year ago. The above price levels all talk about prices just under $200 per tonne delivered to the well. A year earlier, the price level at the start of the harvest was around €165 per tonne. CZAV sees an extra premium for milling wheat. "In Europe, there is more demand for this type of wheat due to the weather conditions," says Visser. "We notice that in the price." Of the regional fairs, only Middenmeer recorded a price for the new harvest last week. This amounts to €195 per tonne. The European feed wheat quotation was €219 per tonne. Barley is trading €10 lower.

Due to the changeable weather, it is likely that arable farmers will switch on the chopper more often and have less straw available for sale. Wet conditions in the field are also a reason not to have it pressed. In the straw prices this movement is not yet visible. Traders talk about €40 to €45 per tonne of loose land for the arable farmer. According to them, a higher price is not possible because the sales prices do not move to a higher level.

Winter barley significantly less
The winter barley has arrived at all companies in the central and southern Netherlands. The yields there are significantly disappointing due to a low hectoliter weight. The wet and especially dark weather during the flowering period is to blame for this. During the wheat flowering period the weather was significantly better, making the harvest forecast for wheat more positive. What matters for winter malting barley is that the grains are less coarse. However, differences are noticeable in the harvested area. Agrifirm Plant saw the area grow significantly by 20%. At CZAV, cultivation is actually shrinking. The barley area at Van Iperen is also very minimal.

The predicted changeable weather over the next 10-14 days is not a major problem for the time being. The companies hope that there will soon be an opportunity to enter the country with the combine harvesters. Arable farmers who still have grass seed in the field are disappointed. This has often already been mowed, which increases the chance of regrowth.

Call our customer service +0320 - 269 528

or mail to supportboerenbusiness. Nl

do you want to follow us?

Receive our free Newsletter

Current market information in your inbox every day

Login/Register