French Crop Worries Rally EU Grains

Posted by Nogger - a legend in his own mind at 17:35 | Categorized as

03/06/16 -- EU grains finished mixed at the close of the week, with Jul 16 London wheat up GBP0.70/tonne at GBP107.45/tonne, Sep 16 Paris wheat was up EUR1.50/tonne at EUR169.25tonne, June corn was EUR01.00/tonne lower at EUR175.25/tonne and Aug 16 rapeseed was up EUR0.50/tonne to EUR379.25/tonne.

For the week, London wheat rose GBP0.90/tonne, Paris wheat rose EUR2.25tonne, corn added EUR4.00/tonne and rapeseed gained EUR5.25/tonne.

Declining French crop conditions have go a few traders jitters, with FranceAgriMer again dropping the proportion of the crop rated as good to very good by 2 percentage points on the week to 81% which is now 8 points down on this time last year.

French winter barley ratings fell 10 points on the week to 78% good to very good, down versus 83% a year ago. Spring corn conditions meanwhile were trimmed from 86% good to very good a week ago to 79% as of Monday night.

The French winter wheat crop was estimated at 87% headed versus 57% a week ago and 93% this time in 2015. They said that 10% of the spring wheat crop is heading versus 38% a year ago. Corn planting was estimated at 98% complete versus 100% done this time last year.

This is the story that's provided a little traction for the market this week. With FranceAgriMer's reports done as of conditions on a Monday it's likely that next week's report will show further declines.

Weather models have France in for wetter than normal conditions through to June 20.

Russia said that spring cereals there are 96.4% sown on 29.9 million ha (28.5 million ha in 2015).