Tillage margins facing further pressure due to poor straw prices

Unexpectedly low straw prices are putting further pressure on tillage incomes at the present time.

Reportedly, 4x4 bales are making just €20 in many parts of the country right now.

This slump in the Irish straw market has come despite stocks in Britain being extremely low at the present time.

Teagasc tillage specialist, Shay Phelan, said: “All of this is leaving cereal growers wondering about the feasibility of baling straw at all into the future.

“If prices don’t improve in the near future, there is a strong likelihood that growers will max out the opportunities available to them within the Straw Incorporation Measure in 2026 and beyond.

“It’s the obvious route for growers to follow, where straw is concerned.”

Meanwhile, the recent rains have come at just the right time for tillage farmers.

Phelan again: “The additional moisture now available in the soil will help boost the germination of winter oilseed rape and cover crops.”

It is widely expected that the area of oilseed rape will increase significantly in 2025/2026 relative to the previous cropping year, potentially in the region of 20,000ha.

Phelan said: “A lot of factors are coming into play as tillage farmers sit down and work through their cropping options for the year ahead.

“What we do know is that oat and malting barley prices are under pressure at the present time.

“This issue alone could well push growers in the direction of oilseed rape.  Adding to the attraction of the crop is the continuing strength in market demand for rapeseed."

The tillage specialist explained that developing suitable rotations is another key factor for tillage farmers in the planting plans they arrive at for the coming year.

“Rape cannot be planted in land that was previously sown out in cover crops that featured brassica mixes. This is due to the enhanced threat of club root," he said.

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Winter rye is an additional crop option that could complement the rotations followed on Irish tillage farms in 2025/2026.

The specific benefits of growing rye will be profiled at the upcoming Teagasc Crops’ Forum on September 10.

“The use of the cereal is an attractive option for pig farmers because of its relatively high lysine content,” Phelan said.

“It is envisaged that future increases in the production of rye will be driven on the back of farm-to-farm sales.”

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