For a change, rain is not only an important issue for wheat growers in Europe. DRV has made minor adjustments to the harvest forecast for grain in Germany. Due to the wet weather, disease pressure is high, according to the association of cooperatives. In the American state of Kansas, showers have caused considerable local damage, just as the harvest is in full swing. Corn growers and the oil industry in the US have found each other in the fight against US President Biden's climate plans.
The September wheat contract on the Matif closed €1,50 higher yesterday at €230,50 per tonne. The stock exchange in Chicago was closed yesterday due to the American holiday Juneteenth.
The German association of cooperatives DRV yesterday released a new yield forecast for grains and rapeseed. DRV expects that a total of 42 million tons of grain will be harvested in Germany. The previous forecast in May estimated 41,8 million tonnes. The yield of winter wheat - the largest cereal crop in Germany - is estimated by DRV at 19,6 million tons. The harvest would therefore be 7,2% lower than last season. The total wheat harvest is estimated at 20,3 million tons, or 5,5% less than last season. The yield estimate for rapeseed remained the same as last month, at 3,9 million tons.
Fusarium
The grains develop well due to sufficient moisture and mild temperatures. "The sometimes heavy rainfall has caused considerable damage regionally. However, this has little influence on the total harvest," says Guido Seedler, DRV's grain specialist, in an explanation of the figures. What is lacking this season is sun. "Growth and therefore both the quality and quantity of the harvest are highly dependent on the hours of sunshine. This year is lower than previous years," according to Seedler. Due to the humid weather, disease pressure is high. DRV is particularly concerned about fusarium. If it becomes warmer and especially dry in the coming days, the winter barley harvest can begin in the south of Germany. Further north and east, it will take until July before the combines can be released into the winter barley.
Mudding after drought damage
In the US, the harvest train is delayed due to showers in parts of Kansas. Thunderstorms with heavy rain and hail wreaked havoc in some places in the state. "It is ironic that we are now struggling with the combines while wheat yields are disappointing due to drought," a grower told local news station KSNW. The differences in yield are large. A branch manager of the grain collection point in Central Kansas tells KSNW that yields in his region are disappointing and that he hopes to achieve last year's yield. In eastern Kansas, yields are a lot better than last year. Due to a drier autumn and sufficient rain in the spring, the wheat is doing much better there. There are more reports of hail and frost damage.
Fight against electrification
Advocates of the oil and corn industries have come together in the fight against US President Biden's climate plans. According to the American Petroleum Institute (API) and The National Corn Growers Association (NCGA), there is far too much focus on electrification of cars and trucks. According to the interest groups, this causes economic damage. API therefore filed a lawsuit this week against the federal environmental agency EPA. The NCGA has now also joined in. “The EPA is trying to do a One-Size-Fits-Allapproach to tackling climate change by prioritizing electric vehicles over other climate measures such as corn ethanol," says Harold Wolle, chairman of the NCGA. This is in a sense remarkable because the oil industry and corn growers were previously rolling around on the streets were about the mandatory blending percentages for biofuel in petrol and diesel.