Grain demand from cattle farmers increases

IFA National Grain Committee chairman, Noel Delany said that there was a significant increase in demand for grain off the combine this harvest from dairy and beef farmers.

“Grain purchased off the combine provides excellent value for money. It is the most cost effective method of securing the high energy concentrate element of the winter feed requirements for dairy and beef farmers. Advances in storing and treatment processes over the last few years have reduced the costs and increased the attractiveness of using Irish grain,” he said.

“With grain prices bottoming out at the moment farmers should look at a range of options to maximise returns from the 2013 harvest. Trading direct to farm has become increasingly popular over the last few years providing an alternative market outlet and much needed competition.

“Growers should also look at the B & B option. The current bearish investor sentiment is predicated on a large US maize harvest which is months away yet. Many experienced analysts see the short selling as overdone given that the US maize crop was late sown and is more prone to frost damage. Any blip in production between now and completion of the US maize harvest could see a significant turn around in prices,” said Mr Delaney.