Wheat prices are set to remain
high in the wake of research from the Government?s Home
Grown Cereals Authority showing that harvests have been
as bad if not worse than predicted.
In its assessment of the harvest to date, the body found
that wet weather had damaged the quality of the crop,
which had higher water levels and lower protein than
last year, meaning less of the crop was suitable for
milling. However, the analysis was only carried out on
the first half of this year?s crop and the HGCA warned
the rest of the crop would be worse.
?It?s definitely worse than we?d hoped for, but it does
look like there?s enough baking-quality wheat to meet
the country?s needs,? said HGCA director of crop
marketing Alastair Dickie. ?However, the quality of the
second half of the harvest is likely to deteriorate, as
it felt the worst effects of this summer?s weather.?
Millers were paying more than expected, Dickie
continued. ?The milling premium this year is between ?50
and ?60/tonne ? much higher than it has been. But it
should stay steady now.?
Petrol and energy cost price hikes are reported to have
increased the cost of milled wheat further.