United Kingdom News Press Releases A Move Away From Group 3s Could Compromise UK Exports

A Move Away From Group 3s Could Compromise UK Exports

24th September 2007

With the Group 4 area predicted to rise as high as 40% this autumn, a major grain marketing company is warning that the shift away from Group 3s could begin to compromise markets and drive down the domestic price of feed wheat.


According to Paul Taylor of Grainfarmers, the UK has a potential two million-tonne market for soft wheats for domestic and specialist export markets.

This is a key market for UK growers as no other country in Europe grows a significant tonnage of Group 3 varieties and one which has been strongly developed and supported by HGCA’s British Cereal Exports, he says.

“Across continental Europe only the Swedes have a tonnage. As well as traditional Mediterranean outlets, we have shipped soft wheats from Southern ports as far a field as South Africa over the last five years. And, in difficult harvest years, Group 3s meeting the Consort/Claire/Robigus 220 Hagberg export spec have fetched £10/t premiums,” says Mr Taylor.

Though feed wheat futures are currently buoyant, this situation can change rapidly. Feed wheat has limited markets, and domestic oversupply is likely to depress the price, he warns.

Andrew Flux, assistant director of crop marketing at HGCA emphasises the need to keep a balance of Groups in order to maintain export markets for surplus production.

“Any move from Group 3 to Group 4 wheats will reduce marketability of UK grain overseas,” he says. “The uks brand developed by British Cereal Exports has built up good recognition. There is strong support for this brand, the mainstay of which is currently Robigus - from our overseas customers and this will continue,” says Mr Flux.

He explains that the uks branding provides overseas buyers with an easier way to source the consistent product specification they require. “Most are using it and more are considering it. It is opening up new countries, particularly in North Africa where there is huge potential.”

Mr Flux says that key overseas customers are concerned about the shift away from Group 3 growing in the UK, and that lack of certainty of supply of UK soft wheats will prompt them to look elsewhere. “uks is their preferred source of supply, but if it’s in short supply and too expensive they will find a way round for their grists from elsewhere,” he says.

He encourages growers to maintain a spread of Groups and focus on markets. “The key thing is to look at market options for what you grow. Look where your wheats will find a home.”

“Too much of a move towards growing Group 4s is not healthy. Group 4s are basically animal feed, with for some varieties, one or two other homes. Bioethanol is just beginning to get going, but there’s no home for UK wheat in this market,” he warns.

Mr Taylor believes that many growers are compromising the yield potential of key Group 3 variety Robigus. “I think that growers have been trying to grow the variety too cheaply, using a protectant policy.

He argues that, with the current wheat price at around £100/tonne, the use of Epona or Tripod (Baytan), followed by a well-timed T0/T1 is well worthwhile.

“If the market is there, which it clearly is for Robigus, growers should choose their market first and make the husbandry fit,” suggests Mr Taylor.