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Analysis Manure

Manure trade does not want to burn itself at a fixed price

24 February 2023 - Wouter Baan

The start of the driving season, which has now been going on for a good week, is going smoothly for the time being. In many places it is often still too wet to drive out large volumes. In addition, the stricter manure rules make private landowners reluctant to include manure. The cocktail of these factors means that fertilizer traders are very reluctant to make fixed price agreements for the current season. The shoe pinches, especially in cattle slurry. 

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Dairy farmers in particular have gratefully taken advantage of the opportunity to spread manure again in recent days. The volumes that are spread are still mainly limited to the higher grassland plots. Arable farmers are often still cautious and wait for better weather. On balance, commission agents describe the start of the release season as 'tame'. The situation is likely to improve quickly as dry and sunny weather is forecast for next week. It is therefore probably 'the calm before the storm', as the situation is also characterized.

Pricing difficult to predict
Yet many insiders find it difficult to predict price formation this year. The supply is oppressively wide, especially from dairy farming. Many dairy farmers call their buyers to make fixed price agreements, but traders often do not dare to do this. The point is that with the disappearance of the buffer zones, exit space is lost. Private landowners are reluctant to spread manure. They must be in the context of it real-time Transport ticket for animal fertilisers started working on manure accounting this year. For 'those few hectares' this is quite complex. Presumably, exit space will also be lost here, or so commission agents think.

From week to week
During the spring of 2022, the weather was particularly good and collection contributions dropped to more than €10 per cubic meter. With that in mind, dairy farmers would like to make price agreements again, but that option does not fly. Traders think that prices will not drop as much this year and would rather view the situation from week to week. It is easier to make price agreements for pig manure. Prices for delivery until June range from €16 to €19 per cubic meter, depending on the region. Due to the shrinking pig herd, the manure supply is more manageable. The number of dairy cows (and thus manure production) has actually increased significantly due to the good milk price, judging by the significantly higher milk production in our country.

Manure prices still stable
At the moment, DCA's collection contributions are generally stable. Pig slurry is briefly below €20 in the center and slightly above that limit in the south. Manure cellars containing cattle slurry are currently being pumped out for approximately €18. However, many dairy farmers find this expensive and speculate on lower prices. As the weather improves and arable farmers get into the swing of spring, the market will undoubtedly decline. However, it is uncertain where the bottom will be this year. 

Click here to view the progress of the DCA collection contributions.  

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