SUBSCRIBE

Breaking News on Industrial Baking & Snacks

News > Commodities

Read more breaking news

 

 
Commodity Reports: AHDB

Wheat supply up but ‘quality issue emerging’

By Kacey Culliney+

19-Sep-2014
Last updated on 19-Sep-2014 at 15:03 GMT2014-09-19T15:03:36Z

Helen Plant, AHDB senior analyst: 'One of the challenges this year has been, or is becoming… there is a quality issue emerging'
Helen Plant, AHDB senior analyst: 'One of the challenges this year has been, or is becoming… there is a quality issue emerging'
Loading the player...

Wheat supplies have hit record levels across the globe, but for France and some other European markets quality concerns are emerging, warns an analyst.

Last week, the US Department of Agriculture (USDA) published its WASDE (World Agriculture Supply and Demand Estimates) report, noting that global wheat supplies were up 6.6m tons.

Speaking to BakeryandSnacks.com, Helen Plant, senior market analyst at the UK’s Agriculture and Horticulture Development Board (AHDB), said wheat production had hit new records.

However, demand was not enough to absorb all the extra production, she said, causing surplus wheat stocks and putting pressure on prices.

This was a major turnaround compared to the past few years, she said.

“It’s quite a contrast, we’ve now had two years of relatively good, even very good at times, weather conditions and that’s really replenished supplies after two years where we were looking at production-demand deficit.”

France ‘significant’ wheat quality drop

However, there were clear challenges this year despite improved supply, Plant warned.

“One of the challenges this year has been, or is becoming… there is a quality issue emerging.”

This, she said, was keeping milling wheat prices at a greater premium to the feed grade wheat compared to last year.

The main problem had been rain at harvest, particularly in France but also other parts of Europe and Ukraine, she said.  “We are seeing overall the availability of the high quality wheat being impacted.”

France, for example, estimated provisionally that 59% of the wheat crop would be good or very good for milling; that compared to 95% in the previous year, she explained.

“Although you’ve got a greater supply of grains overall, the availability of the sort of quality end of the market certainly looks to be tighter.”

The France drop in quality was a significant drop, she said, but it was something that market had been monitoring since early July, she said. Persistent rain had been a cause for concern throughout this harvest, she said.

“It’s only now as you get after-harvest finish that the statistics come out to back it up.”

Looking forward?

Plant said focus would now be turned to the US maize harvest which was in its early stages – about 4% complete but also the Australian wheat harvest which was at its critical yield-forming period.

Related products

Related suppliers

Bread hit hard by price wars

Bread is ‘price war casualty’ – FoB director

Bread is one of the biggest casualties of the supermarket price war, as retailers...

food packaging, business, women

How to be a successful woman in the packaging industry

Passion, determination and ambition: all top tips for aspiring businesswomen, say three senior Swedish...

NPD category busters: From ‘Teagurt’ to coffee fruit energy to Milo expansion

NPD category busters: From ‘Teagurt’ to coffee fruit energy to Milo expansion

Jane Barnett

Insights manager for Australia-New Zealand, south east Asia and India,...

USDA WASDE: Wheat supply up but ‘quality issue emerging’ says AHDB

Wheat supply up but ‘quality issue emerging’

Wheat supplies have hit record levels across the globe, but for France and some...

UK gluten-free businesses should storm Europe

Europe is ripe for UK gluten-free businesses

France and other European countries are prime targets for the UK’s established gluten-free (GF)...

Manufacturers are struggling with healthier food calls

Bakeries struggling with calls to cut salt, sugar and fat

Manufacturers of baked goods are reaching a point where calls to cut salts, fats...

Thins in packaged bread could spark growth, Mintel

Can ‘thins’ save a dwindling packaged bread sector?

‘Thins’ have taken off in the US and Canada with bread, bagel and even...

Bread innovation needed amid carb, additive backlash: Mintel

Additives and carb backlash stumps bread innovation, says Mintel

Stephanie Pauk and Pam Yates

Analysts, Mintel

Bosch Packaging Technology biscuits Interpack

Bosch: Biscuit makers face production challenges in portion control packs

Andreas Schildknecht,

global product manager, Bosch Packaging Technology

OAL debuts APRIL Robotic Weighing Station Interpack

OAL: ‘You don’t need to have robots in cages any more’

Jake Norman,

sales and marketing manager, , OAL

GEA debuts Comas and Imaforni processing lines

GEA debuts Comas and Imaforni processing lines

Marco Gandini,

VP, head of bakery applications, , GEA

Treofanphthalate-free packaging and mineral oil barriers

Treofan turns to phthalate-free packaging films and mineral oil barriers

Jürgen Schischko

Technical service director, Treofan

Braskem packaging changes color if a product is unfit for consumption

Braskem packaging changes color if a product is unfit for consumption

Marcia Pires

polymer science researcher , Braskem

Mettler-Toledo Safeline metal detection systems

Mettler-Toledo Safeline debuts four enhancements on its metal detection systems

Mettler-Toledo introduced four enhancements on its Safeline metal detection systems at Interpack.

Too good to throw away

Too good to throw away

Innovative snack start-ups are proving there’s no reason for the world to continue wasting...

Manning Impex ups Asian offering for UK market with seaweed snacks

Manning Impex ups Asian offering for UK market with seaweed snacks

UK-based importer and distributor Manning Impex has added Tao Kae Noi seaweed snacks to...

Key Industry Events

 

Access all events listing

Our events, Shows & Conferences...

Promotional Features