UK ex-farm milling oat prices reach 19-month high

Published 2024년 2월 1일

Tridge summary

The average ex-farm milling oat price in the UK reached a 19-month high in January, increasing by 5.8% from December and 14.4% from the previous year to £252.20/t. This surge is attributed to a decrease in availability and an increase in demand. The availability of oats for the 2023/24 season is projected to be down by 16% at 995 Kt, while human and industrial consumption is expected to rise by 3% to 507 Kt. The premium of milling oats over feed oats also reached a 10-year high in January at £76.70/t. These factors are expected to keep prices high for the rest of the season.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

Sign up to receive the Weekly Market Report and Grain Market Daily from AHDB. In the latest ex-farm Corn Returns data updated this week, the UK average ex-farm milling oat price reached a 19-month high in January at £252.20/t, up 5.8% from December’s average and up 14.4% from the same month last year. The premium of milling oats over feed oats for January reached £76.70/t, the highest recorded in at least 10 years. It’s worth noting that the milling market, particularly in England, is heavily geared towards contracted supplies. These contracts will have been agreed 12 to 18 months ago, in line with wheat futures markets. As such, the spot ex-farm prices do not reflect the prices paid for all oats. The discount of feed oats to feed wheat is also shrinking, and there is now a firm premium over feed barley. So, why are prices climbing? And what can we expect moving forward? In AHDB’s latest UK supply and demand estimates published last week, total availability of oats for the ...

Source: Ahdb