Food markets continue to struggle due to ongoing challenges...
The European/North African growing region is facing difficulties in producing fresh vegetables and fruits, as the shift to new countries of origin has not yet taken place. Adverse weather conditions during planting and early growth in spring and summer 2022 have led to reduced yields and smaller-than-usual head sizes.
Further damage during autumn and winter has caused additional harm to already weakened plants, leading to shortages in both traditional and contingency supply regions. The combination of high prices and low quality and availability is a result of this situation.
Moreover, due to the conflict in Ukraine, the supply of organic cereals for winter cattle feed has been impacted, causing a temporary halt in the organic certification of these products. However, the cheeses that are currently maturing are organic and can still be sold as such.
The global supply and demand for rapeseed have increased on the year, with the availability of rapeseed in the EU adding to price pressure and improving processor margins.
Additionally, the domestic demand for rapeseed is expected to remain strong, even with the closure of Hull at the end of 2022. Ultimately, rapeseed prices over the next six months will be heavily influenced by the direction of the soybean market, which is awaiting a historically high South American crop.
Furthermore, the ongoing outbreak of Avian Influenza continues to impact flock numbers each week.
Take a look at the price movements and the quality of the products by category below:
Key Price Movements:
Sources: A David UK, Farming UK, Oliver Kay UK.