Feed prices coming down but farmers will have to wait longer for full benefits
Lower grain prices have already had an impact on the prices that farmers are paying for their feed.
However, it will take longer for the full benefits of lower grain prices to trickle through the feed chain to farm level.
Prices for straights such as maize, soya and barley have all been on a downward curve in recent weeks, largely on the back of predictions of a record maize harvest in the US.
While recent reports of drought have dampened total estimates, some 14 billion bushels (434m tonnes) of maize are still expected to be harvested across the US this year.
Soya, which hit record highs over the last 12 months, was trading around €455/t last week.
It is predicted to drop further over the coming six months to around €400/t. Maize is trading at €227/t, but again this is expected to fall by 14pc next year according to the IFA.
Beef nuts with a protein inclusion rate of 13-14pc is currently quoted at €240-250/t, which is back by over 25pc from the €320-330/t it was making last year.