What effect does grain harvest have on the feed market?

As far as the grain harvest is concerned, the rumors seem to be largely true. In the north of France the harvest is already at an advanced stage and the harvest is also in full swing in other places. So far, the returns indeed appear to be lower. The agricultural market researcher Agritel estimates the harvest at 29,22 million tons, a quarter less than last year. The 2020 harvest is reportedly the smallest in 25 years.

The farm price is stable this week at €110 for both wheat and barley straw. However, the story surrounding prices is extremely variable. While a number of traders indicate that the price is under pressure because of the new harvest that is about to enter the market, other traders say that the price may rise in the coming weeks because the yields are disappointing. The grain harvest has also started in the Netherlands, and so far the yields do not appear to be disappointing. Compared to last year, prices are considerably lower.

Supply and demand stable
For spent grain, feed potatoes and meadow hay, supply and demand are in balance. In the case of feed potatoes and meadow hay, this is largely because the supply fluctuates somewhat, which does not actually stimulate demand any further. The price of meadow hay remains stable at €180 per tonne (free of charge), while the potato price drops slightly again to €35 per tonne. There is a difference between washed and unwashed potatoes. Now the time seems to be coming when most potatoes need to be washed for quality reasons.

The price of spent grain remains the same for the umpteenth week in a row. There are still clear differences in the north and south, with the south on average €0,15 cheaper than the north due to transport. The breweries provide the animal feed sector with a stable supply of spent grains and demand is in line with this. The price remains at an average of €2,70 per percent dry matter.

Grass and corn
Now that some water falls from the sky every now and then, the market for grass and corn remains stable. Some traders indicated that they were cautiously lowering the price of corn. This does not yet fall below €70 per tonne. Most traders indicate that it is currently difficult to quote a price for grass. There is no excessive supply and demand is also slightly lacking. The price is stable at €60 per tonne.

There is still little supply for grass seed hay, although this is increasing slightly. The quality does not yet seem to be excellent, due to the rain in recent weeks. For this reason, the prices of meadow meadow, red fescue, tall fescue and English rye are rising DCA Indicative Price Index €10 lower than previous weeks.