Execution of the advance on direct payments, reduced corn harvest compared to the previous year, uncertainty as to the further development of the situation in Ukraine, as well as the current storage base discourage many farmers from selling grains later this year – the Grain and Feed Chamber informed.
According to the Chamber, there is a lot of grain in Poland but it is still storaged at farmers’ storage bases, who in most cases are not interested in selling it at the prices offered by buyers.
“Perhaps a bit more grain sales offers will appear in November, along with the approaching winter and the end of the year. However, it is difficult to count on a sharp increase in grain sales offers. Currently, maize is mainly traded. However, this year’s harvest is late and wet. Hence, the advancement of maize harvesting varies greatly from region to region. Recurring rainfall makes it difficult to collect grain from the fields. We estimate that maize in the country has so far been harvested from about half of the acreage”, said the Chamber’s experts.
The greatest advancement of the maize harvest is recorded in the west and north-west of the country, where maize has so far been harvested from over 70% of surface. The further east you go, the less corn you harvest. In the Kuyavian-Pomeranian Voivodeship maize was harvested from about 30-35% of acreage, in the Masovian Voivodeship about 20-25%, and in Lublin Voivodeship and Subcarpathian Voivodeship about 15%.
Experts point out that the information from the field shows that maize yields are lower than a year ago, with large variations in yields depending on the region of the country. At the present stage of harvest advancement, the average yield is estimated at 8-12t/ha of wet grain. In the western part of the country, maize plantations have suffered more than in the rest of the country and yields are quite poor there. But the further east, the higher they are, reaching 14t/ ha at 30% wet grain, so slightly lower compating to last year’s.
Despite the ongoing harvest, the prices offered for wet maize grains continue to rise. At the end of October, the prices of wet maize (30% humidity) are at the level of 850-1020 PLN/t. The highest prices are recorded in the west of the country, where the yields are weaker than expected, and therefore the supply of grain is limited.
Depending on the region of the country, at the end of October, wheat for consumption of cereals with delivery cost 1550-1620 PLN / t; feed wheat PLN 1500-1580 / t, rye for consumption 1150-1300 PLN/t, fodder rye 1100-1200 PLN/t, feed barley 1250-1350 PLN/t, triticale 1350-1420 PLN/t, oats fodder PLN 1100-1300 PLN/t, dry corn 1370-1500 PLN/t; rapeseed 2,850-3,000 PLN/t.
According to the Chamber, in October this year, wheat exports via ports will be higher than assumed before and it will clearly exceed 200,000 thousand tons. The subject of export is mainly maize loaded on ships in the ports of Gdańsk and Gdynia. Currently, grain prices in ports are similar to those in the country, which does not encourage suppliers to sell it for export.
The export of grains by car to neighboring countries is limited.
“Recipients from Germany, the Czech Republic and Hungary do not show much interest in Polish corn for delivery in November and December this year due to too high grain prices demanded by Polish farmers, and more importantly – strong competition from Ukraine on the markets of these countries”, informs the Chamber.
The Grain and Feed Chamber adds that Ukrainian corn also goes to Poland “but in limited quantities”.