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European wheat yields slip despite rain: Grain Market Daily, 30.07.20

Market Commentary

  • UK wheat futures (Nov-20) closed yesterday at ?166.90/t, down ?1.85/t on Friday’s close. Paris milling wheat futures (Dec-20) were also down €3.00/t on Friday, closing at €183.50/t.
  • Pressure was also recorded in Chicago wheat futures (Dec-20), which were down $3.86/t, closing yesterday at $196.49/t.
  • This pressure across the board was due to IKAR increasing its forecast for Russia’s 2020 wheat crop to 78Mt from the previous forecast of 76.5Mt, after high yields in some regions.
  • UPDATE: Our Planting and Variety Survey now includes GB uncropped arable land and temporary grassland for 2020, click here to find out more.

European wheat yields slip despite rain

Many farmers across Europe have probably had a growing season they would rather forget, from a wash away autumn and winter in parts, met by a hot and dry spring. The latest EU crop monitoring (MARS) report, released yesterday, reported that there is a sustained positive outlook for spring crops due to recent substantial rainfall. However, this rain has had mixed effects on yield forecasts for winter crops.

Although there has been a recent positive outlook in general, which has improved general yield outlook on the last MARS reports, there is cause for concern on winter cropping in much of central Europe, south-western Finland and southern Russia.

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