2019 Glanbia grain prices announced
Glanbia is once again the first to announce its grain prices for 2019. The non-member base prices for feed barley and feed wheat are €128/t and €135/t respectively.
Grain buyers across the country will be expected to follow suit with their own announcement on price in the coming days.
Payment will begin to be issued in full and some farmers’ payments – who were paid on account – will be topped up.
The prices quoted below are the base prices and do not include any bonus payments for moisture for example.
It should also be noted that there are two sets of prices. The first price is paid to Glanbia shareholders – a member-only price. The second price is lower and is paid to non-members.
- Feed barley – 141;
- Malting barley – 186;
- Contracted winter barley – 151;
- Feed wheat – 148;
- Equine (oats) – 151;
- Standard food-grade oats – 174;
- Gluten-free oats – 188;
- Un-contracted feed oats – 131;
- Quality oats (contract) – 141;
- Oilseed rape – 355;
- Feed beans – 213.
- Feed barley – 128;
- Malting barley – 173;
- Contracted winter barley – 138;
- Feed wheat – 135;
- Equine (oats) – 138;
- Standard food-grade oats – 161;
- Gluten-free oats – 175;
- Un-contracted feed oats – 118;
- Quality oats (contract) – 128;
- Oilseed rape – 342;
- Feed beans – 200.
All prices quoted include a €3/t transport premium. This premium rises once the distance of the drying location goes above 15km from the grower.
Member prices are inclusive of a €3/t payment of co-op support for grain supplied to all shareholders and a €10/t 2019 grain Trading Bonus is also available to members who spent a minimum of €60/t on inputs from Glanbia.
Speaking on the announcement Glanbia chairman Martin Keane stated: “In light of the challenging market for grain, the board has today agreed to make a €3/t market support payment on all 2019 harvest tonnes delivered by members.
The vast majority of our members are loyal customers of the business, which ensures that they qualify for the €10/t Trading Bonus.
He added: “Over 35% of our total grain intake now attracts a market premium above the base price. These premiums deliver significant benefits to our growers and we understand that Glanbia has a higher proportion of its grain in premium contracts than other grain purchasers in the country.
“For example, across all contracts, the weighted average price paid for barley to Glanbia Co-op members this harvest is €166/t (including transport allowance, premiums and Trading Bonus).”
In 2018, Glanbia introduced a ‘delivered-in’ grain pricing model. This model means that all quoted or announced prices for green grain include payment for delivery to a specific drying location.
In other words, the base price quoted by Glanbia is centred on delivery to a drying location from a distance of up to 15km. It includes a transport premium of €3/t.
The further away the grower is from the drying location, the transport premium increases. The table below shows the transport premium and the distances. It is up to the farmer to organise the delivery of grain and pay the haulier.
Different products are delivered to different drying locations. The table below shows the delivery locations for the different products.
Green denotes that the site is a drying location for that product, while red denotes that the site is not a drying location for that product.
It should be noted that the delivery locations outlined below were provisionally announced by Glanbia on April 16 of this year. Farmers will now know themselves where the grain was delivered.
In 2018, Glanbia paid a price of €205/t to members and €193/t to non-members for feed barley and feed wheat.
In 2017, Glanbia paid a base price of €133/t for feed barley to non-members and €147/t to members. Farmers who supplied feed wheat were paid €157/t (members) and €143/t (non-members).