Monday Market Briefing - 29th March 2021

This shortened week going into Easter will be dominated by the much anticipated USDA reports due on Wednesday afternoon. The International Grains Council have published their own forecast showing a near 3% (60 million tonne) increase in global grain output for 2021-22, all of which is expected to be swallowed up by greater consumption. Hence, it would be a major shock if the US does not confirm a similar expansion in acres as hinted in their last report. Markets may be more immediately concerned with any updates to existing stocks which would have an impact on availability in the remaining old crop months, as well as affecting the carry over stock into next year.

UK markets seem to reflect a wider unease about the timing of lockdowns easing and demand returning. Prospects at home are hopeful but we need Europe to open up as well to see real benefits of increased consumer demand. A ten day dry spell ahead with some warmer days thrown in should not trouble the spring crops at all, and those forward markets are definitely worth a look now with very good early malting premiums available.

Have a good week and stay safe.