Pulsegrowers should react to the current strong export demand for human consumption beansbefore the Australian crop enters the market early in the New Year, advisesNidera.
Abumper 2013 UK bean crop, with excellent quality, means that although thepremium for human consumption beans is lower than in previous seasons, theproduct is in demand and prices are firm, reports Nideras pulse trader ArronMayhew.
Ingeneral, UK beans are a good size and colour, with very low levels of bruchidbeetle damage, he says. As a result, some 75% of the crop meets the humanconsumption specification.
Thatmeans around 330,000 tonnes could be exported from the UK, he calculates.
Egypthas a demand for 600,000 tonnes each year, of which 350,000 tonnes are usuallysupplied by the UK and France.
Theremainder is met by Australia from January onwards, as well as Egypts domesticproduction of 50,000 tonnes.
Sofar this year, Egyptian buyers have shown a preference for UK beans, ArronMayhew says.
Frenchcrops were hit by the hot summer and have a smaller grain size, poorer visualappearance and more bruchid damage. But better samples are competing with UKbeans for the pre-Christmas trade.
Asa result of increased availability, its inevitable that some good qualitybeans will have to go as feed, he warns.
Whenthe Australian crop hits the market, there will be competition and exportactivity will be reduced. So our advice to growers is to make the most of thiswindow and secure a good price plus small premium while its on offer.
Afeed price of around 230/tonne reflects the shortage of feed beans in themarket, as growers hold out for premiums from their better quality crops, heconcludes.
Pricesof feed beans remain at a healthy premium to feed wheat. So theres anothergood reason to sell beans before Christmas.