After a fraught year most will be glad to see the back of, market attention is turning to prospects for 2023 grain and feed raw materials supply. The forward futures markets suggest hopes persist that costs may continue to trickle down for some feed commodities - notably maize (perhaps by 12 percent) and soya meal (14 percent) - if the promise is fulfilled of bigger crops in the Americas, North and South. However, bread wheat remains a harder call. Despite - or perhaps because of - its sources beingmore numerous and widespread geographically, the mixed wheat picture we saw in 2022 could be repeated again in 2023. Partly for that reason, the forward futures picture for this grain is about 5 percent firmer than current values, on the US markets at least. However, it’s early days to rule out a more balanced supply picture and the forward EU futures market is currently flagging a wheat price drop of about 3 percent for latter 2023, widening out to nearer 20 percent by latter 2024.
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