Early observations for 2017 Harvest - 25/09/2017
The hot days of the summer came too early, limiting yields, particularly of spring crops. Unsettled weather then prolonged the harvest. Our early observations of 2017 harvest, compared to 2016, are:

Yield - average per Hectare
  2017 Harvest 2016 Harvest Change %
Winter Barley 7.55 7.10 +6.33
Spring Barley 6.55 6.20 +5.65
Winter Wheat 9.40 8.45 +11.24
Oilseed Rape 3.71 3.01 +23.26
 

Barley

Spring barley yields have been poor again this year, giving farmers a difficult choice of spring crops for 2018.

Wheat

Lack of sunshine at the right time and some areas of drought-stressed crop produced variable yields. However, some of our farmers are reporting average yields in excess of ten tonnes/hectare.

Oilseed

Clients are reporting significant increases in yield, back to around five year average. Expected lower yields from areas such as Canada are likely to move prices above 2016 levels. Some new hybrid varieties have performed very well, exceeding five tonnes/hectare.

Other crops

Yields of beans and peas have been variable. Prices have been under pressure due to oversupply with large areas planted, due to the three crop rule.

Outlook

Currency fluctuations are still having a significant impact on grain and oilseed prices, these generally remaining positive. This should result in Basic Payments being high again this year- last year’s having been 16% up on the previous year due to exchange rate movements. Brexit is still causing uncertainty in the market place and is likely to continue to do so. Banks still seem to be supporting agriculture and specialist managers are well aware of the issues and demands facing their agricultural clients. Monitoring and controlling cashflow remain critical. We have been helping a number of clients move long-term overdrafts to loans on relatively favourable terms. We will be providing full details of our benchmarking figures for the 2016 harvest later this year and early 2017 harvest results later in the year. We will again be holding a benchmarking event (details here) to present the results.
 

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