April 19, 2012

Spain's wheat, barley crops to remain steady as previous year

Based on preliminary data in the light of recent rainfall, Spain's soft wheat and barley crops likely to be similar to last year's, as expected by the country's animal feed industry.

Farmers say April showers may have come in time to relieve the impact of a long drought in the northern grain belt but that crop damage may be permanent in many parched southern regions, where the crop cycle is more advanced.

Farmers, industrialists and dealers all say April and May weather typically make or break Spain's wheat and barley harvest and that reports issued before June are preliminary in a country where the final crop can be anywhere between 9-20 million tonnes.

In an internal document, industry body Cesfac estimated that Spain's wheat and barley yields would be broadly similar to last year's, which coupled with official tallies of acreage would produce harvests of six million and 8.3 million tonnes, respectively.

The estimates did not include durum wheat, which is not used in animal feed and is grown in southern regions most affected by the drought. On Tuesday (Apr 17) the agriculture ministry estimated Spain's wheat and barley crop would fall by 24.6% from 2011, but that was based on data culled in February.

Spain's animal feed industry consumes more than 20 million tonnes of grain - including cereals and oilseeds - every year and is home to Europe's biggest pig feed sector.

Even when Spain has a bumper grain harvest, it still needs to import at least 10 million tonnes of grain a year to meet demand and is a major buyer on world markets.