Forward price jump for wheat and barley
Forward prices for Irish wheat and barley jumped by €5/t in less than 24 hours last week after forecasts for the European grain harvest were cut by over 4m tonnes.
Glanbia's September forward price of €158/t for green wheat on Thursday was increased by €5/t to €163/t green by Friday morning.
Glanbia also increased its forward price for green barley (September payment) from €152/t on Thursday to €157/t on Friday.
The move was prompted by a report from French analyst Strategie Grains, which found much higher winter kill of crops in Germany, Poland and France than was previously thought.
As a result, the analysts cut its estimate for Europe's 2012-2013 wheat harvest by 4.2m tonnes to 122.7m tonnes.
Its earlier forecast had been for 133m tonnes.
Freezing conditions in Germany, Poland and France over the past few months were initially thought to have only had minimal impact on wheat crops there but the damage was underestimated.
Dairygold suppliers were offered a harvest price of €154/t for green barley and €159/t for green wheat on Thursday of last week.