British millers have been buying more German wheat than usual this winter following significant delays to winter wheat sowings as a result of heavy and prolonged rainfall.
Heavy rain in October and November has delayed cereal sowings in parts of the European Union, with the situation in the UK particularly severe and could trigger a significant shift to spring crops.
Spring crops have less time to develop than winter crops, increasing the risk of a smaller harvest.
"More UK wheat was bought than normal at this time of year," said one German trader.
UK wheat purchases in Germany were mainly high quality grades with a protein content of 13% and 14% for delivery in 2020, traders said. Volumes were initially said to be relatively small, possibly around 30,000 to 40,000 tons. "These are varieties used for blending with lower quality wheat to get good quality flour," one trader said.
Traditionally, British mills buy up to 275,000 to 300,000 tons annually in Germany, mainly of high quality wheat varieties. British purchases have been considerably larger in recent years, but the increased quality of the recent British wheat crop has reduced the need for imports.
Traders said they did not believe the recent purchases were related to Brexit.
Source
HANSA Terminhandel
