The potential impact of the ongoing crisis in Ukraine on Irish farming was the focus of the most recent edition of the Tillage Edge podcast.
Irish man Jim McCarthy farms in Romania, 60km from the border with Ukraine.
He told Michael Hennessy, head of Teagasc Crops Knowledge Transfer department, about the impact of the deepening crisis on his own business.
McCarthy also reflected on the impact that the war in Ukraine might have on international grain prices over the coming months.
Russia and Ukraine account for 30% of the global trade in cereals, maize and oilseeds.
It’s not known, at this stage, what will happen to winter crops already planted in Ukraine or the potential to get-on with spring plantings.
“We are really immersed in helping the refugees coming across the border from Ukraine at the present time,” McCarthy confirmed.
“There are a number of buses within the business to help transport refugees at the present time. But we are also making apartments and houses on the farm available to mothers with young babies.
“On our organic farm, we have a number of dormitories. These too are being made available to 26 refugees who need dependent living facilities. These people may well live out the war with us,” he said.
McCarthy also confirmed that other farm families and communities across Romania are putting in a huge effort to help many refugees from Ukraine coming into the country.
While Bulgaria and Hungary have introduced a ban on food exports, Romania has not.
“Last year was a really good year in Romania. Farmers here are rewarded for holding on to their stock for as long as possible,” McCarthy explained.
“Romanian farmers have been investing heavily in storage over recent years and this has been needed to keep up with the improved grain yields that are now being achieved. As a consequence, farmers get paid for holding their produce.
“There was a lot of grain and corn in stock when the crisis in Ukraine broke out. But we have seen a tremendous surge in price over recent weeks. So there is no problem in selling.
“Over the last five years, our average corn price was €140/t. Last week, we sold a shipment for €310.
“The price of oil crops is on fire. Not that long ago, we were taking €265 for sunflowers. The forward price for delivery in October 2022 is now at €650.”