Grains: Prospects in Germany are worse than expected

August 1, 2018 at 12:37 PM , Der AUDITOR
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BERLIN. In the recently published second crop report, the German Farmers’ Association (DBV) has lowered its production estimates for grains and rapeseed considerably. The harvest campaigns are progressing speedily, but the damage caused by drought is much worse than expected. Debates are heated in Germany and feed supplies will certainly run low.

 

Heated debates in Germany

Grain production estimates have dropped from 41 million mt to as little as 36 million mt. The lower figure is based on the actual crop results to a much larger extent and confirm the concerns raised across Germany over the last couple of days. CEO Joachim Rukwied is calling the government and the federal states to act quickly in providing financial support for the farmers affected by the drought.

Debates over financial support are, however, heated in Germany. While many farms are experiencing tremendous financial difficulties, Rukwied calls for as much as EUR 1 billion to be made available for immediate assistance. Economic advisers, however, point out that providing such large sum would be counteractive to prompting a heavily subsidies industry to become more effective. Other organisations also emphasise that agriculture is also largely responsible for the climatic change and even Rukwied himself concedes that the farms need to become much more sustainable.

Feed supplies are running low

The grain and rape harvests have progressed speedily over the last few weeks and the full extent of the damages caused by weeks of far too hot and dry weather are emerging. Low yields and concerns over feed supplies have caused some farms to thresh their grains prematurely. Due to the continuing dry weather the corn is not forming any cobs, which will have an immense impact on production and the quality of the corn-silage used as feed.

Winter wheat

With an acreage of 2.96 million ha winter wheat is the most popular grain in Germany. The harvest is nearly complete. Winter barley has been particularly affected by drought in the north and eastern parts of Germany. The harvest is almost complete. Winter rape is the most important oilseed in Germany and here too, the harvest has just about been completed.

Yield estimates (mt/ha)

Product

2017

2018

Diff.

Winter wheat

7.7

6

-20%

Winter rye

5.1

3.7

-28%

Winter rape

3,3

2.6

-21%

DBV

 

Production estimates (1,000,000 mt)

Product

2017

2018

Diff.

Winter wheat

24.1

18

-25%

Rye

2.7

2

-26%

Oilseed rape

4.3

3.3

-24%

DBV

 

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