Strong Co-op Grain Prices Needed Given Input Cost Surge

IFA Grain Chairman Kieran McEvoy has welcomed the grain prices announced this week by Tirlán and Dairygold and said grain merchants should match the prices set by the two co-ops.

“The base prices for feed wheat and barley are a fair reflection of where grain markets are currently trading.  International markets softened during the summer, but they recovered throughout September.  It’s good to see these recent developments have been factored into the final prices paid,” he said.

While grain prices are c. 30% higher than last year, costs have increased by a similar amount. The Teagasc Outlook report estimates that average tillage farm incomes are likely to be 10% lower than last year. “The substantial increase in grain prices is good to see, but every bit is needed to try to keep pace with escalating production costs,” he said.

Ahead of the autumn planting season kicking off in earnest, Kieran McEvoy said tillage farmers are facing an unprecedented level of uncertainty for harvest 2023.

Fertiliser prices look set to remain at historic highs, with real concerns over supply.  Indicative grain futures prices for 2023 would return lower prices than those announced this week.

“It’s critical that the grain industry and tillage farmers work closely together in 2023. I would call on all buyers of grain to support tillage farmers where possible and ensure the supply of native grain does not drop back next year,” the Chairman concluded.