Just thought some of you might like to see how Cargill operate in the UK.
Jointly owned by Associated British Foods and Cargill plc, Frontier is an independent, financially secure business employing more than 800 staff across 46 sites nationwide.
This is the email they sent me today their Friday crop report but it actually arrives on a Friday at 4pm.
Wheat markets have firmed this week. The USDA released its March report and the data was entirely neutral to grain markets. Dryness in the US plains prompted some short covering on the benchmark Chicago wheat market and this has lent some support to EU markets.
The EU confirmed another big week on exports, reporting 1.59mmt of licences taken in the second largest week ever. This confirms, as expected, that the EU is busy with exports; the UK, however, is not. Currency is restricting our markets significantly as sterling continues to firm against the euro and today the slow pace of UK exports was confirmed, with the release of the January '15 exports statistics. These gave exports at only 137,378mt v 110,651mt imported, compared with the total cumulative figures at 1,075,532mt for exports v and 1,069,561mt for imports.
Focus is now turning to spring maize plantings and winter wheat conditions in the Northern Hemisphere. Old crop wheat is short on fresh fundamental news and given current statistics, stocks are set for a big build in the UK, where this season's imports and exports have been fairly balanced; total maize imports to date are 1,150,740mmt, directly replacing feed wheat demand. These statistics give a flavour of the price action we have seen since the start of the season.Latest export figures released this week showed 65,000 tonnes of barley was sent out of the UK in January. This is significantly down from the December figure of 190,000 tonnes. The drop only highlights the current reliance on exports outside the EU, as none were made in January. With the continued weakness of the euro, barley exports to European destinations are out of the question for most of the UK when it comes to new business.
Barley demand therefore remains sporadic. Some new demand to UK domestic outlets does exist, but is generally on a spot basis as end users don't want to commit to purchasing unless they have definite demand.
Malting barley trade remains thin as most end users look covered for the season. Trade shorts do appear occasionally as tonnage is called for delivery.
New crop barley values have firmed this week, dragged along by rising wheat prices. Spring drillings have now started in many areas, but mixed weather has thwarted some for the moment. A run of dry conditions would see plenty of farm activity which may lead to some new crop selling as values nudge upwards. The key to new crop prices lies very much with the weakness of the euro against the pound; this needs to change if the UK's barley values are to shift upwards in the next few months.
Just hope it shows how they operate here and that your price is the same as mine at a port.
Jointly owned by Associated British Foods and Cargill plc, Frontier is an independent, financially secure business employing more than 800 staff across 46 sites nationwide.
This is the email they sent me today their Friday crop report but it actually arrives on a Friday at 4pm.
Wheat markets have firmed this week. The USDA released its March report and the data was entirely neutral to grain markets. Dryness in the US plains prompted some short covering on the benchmark Chicago wheat market and this has lent some support to EU markets.
The EU confirmed another big week on exports, reporting 1.59mmt of licences taken in the second largest week ever. This confirms, as expected, that the EU is busy with exports; the UK, however, is not. Currency is restricting our markets significantly as sterling continues to firm against the euro and today the slow pace of UK exports was confirmed, with the release of the January '15 exports statistics. These gave exports at only 137,378mt v 110,651mt imported, compared with the total cumulative figures at 1,075,532mt for exports v and 1,069,561mt for imports.
Focus is now turning to spring maize plantings and winter wheat conditions in the Northern Hemisphere. Old crop wheat is short on fresh fundamental news and given current statistics, stocks are set for a big build in the UK, where this season's imports and exports have been fairly balanced; total maize imports to date are 1,150,740mmt, directly replacing feed wheat demand. These statistics give a flavour of the price action we have seen since the start of the season.Latest export figures released this week showed 65,000 tonnes of barley was sent out of the UK in January. This is significantly down from the December figure of 190,000 tonnes. The drop only highlights the current reliance on exports outside the EU, as none were made in January. With the continued weakness of the euro, barley exports to European destinations are out of the question for most of the UK when it comes to new business.
Barley demand therefore remains sporadic. Some new demand to UK domestic outlets does exist, but is generally on a spot basis as end users don't want to commit to purchasing unless they have definite demand.
Malting barley trade remains thin as most end users look covered for the season. Trade shorts do appear occasionally as tonnage is called for delivery.
New crop barley values have firmed this week, dragged along by rising wheat prices. Spring drillings have now started in many areas, but mixed weather has thwarted some for the moment. A run of dry conditions would see plenty of farm activity which may lead to some new crop selling as values nudge upwards. The key to new crop prices lies very much with the weakness of the euro against the pound; this needs to change if the UK's barley values are to shift upwards in the next few months.
Just hope it shows how they operate here and that your price is the same as mine at a port.
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