News Agriculture, Economy, Statistic

According to the latest statistics from the Natural Resources Institute Finland (Luke), there were a total of 400 million kilos of stocks of domestic and imported cereals in trade and industry at the end of June 2019. This is nine per cent less than in the previous year, and the lowest amount since 2012.

The largest stocks were of barley, at a total of 141 million kilos. Oat stocks amounted to 115 million kilos, with wheat stocks of 99 million kilos and rye stocks of 54 million kilos.

Less wheat sold from farms–decrease largest for feed wheat

During the 2018/2019 crop year (1 July 2018–June 2019), the domestic cereals industry and cereal distributors purchased a total of 1.6 billion kilos of cereals directly from farms. This amount was over 0.2 billion kilos less than in the previous crop year. This is likely to have been a factor in the smaller total grain crop in 2018, which was 2.7 billion kilos. The poor summer had the biggest impact on wheat and rye yield.

The amount of barley purchased was 655 million kilos, the same amount as in the previous crop year. As much as 543 million kilos of oats were sold on the market, eight per cent less than in the previous crop year. A total of 63 million kilos of rye were purchased from farms, 16 per cent less than in the previous crop year.

A total of 371 million kilos of wheat was purchased from farms, less than in the previous crop year. At the time of purchase, 169 million kilos of this amount were classified as bread wheat, 13 per cent less in than the previous crop year. The feed wheat yield was 202 million kilos, 39 per cent less than in the previous crop year.

Cereal prices higher than in the previous crop year

“Producer prices of cereals are monitored monthly, and the results show that prices of all cereals increased in the autumn of 2018. The difference between the prices of bread wheat and feed wheat decreased”, says senior statistician Sirpa Karppinen of Luke.

Producer prices declined slightly in spring 2019. In June, the average basic price for bread wheat and for feed barley were EUR 194 and 170 EUR per tonne respectively. The price of bread wheat was 14 per cent higher than in the previous year, and the price of feed barley was 15 per cent higher.

Cereal consumption 1.3 billion kilos

Finnish industry used a total of nearly 1.3 billion kilos of domestic and imported cereals in the 2018/2019 crop year. This amount is 59 million kilos less than in the previous crop year.

Consumption is calculated according to the first use of the cereal. The feed industry used 563 million kilos of cereals, slightly less than in the previous crop year. The food industry used 428 million kilos of cereals, and other industry used 339 million kilos. Among the other industrial uses of cereals are the production of malt, ethanol, starch, glue powder and enzymes.

The cereal most used in the feed industry was barley, at 38 per cent. The rest of the cereal consumption consisted of wheat and oats, with the feed industry using equal amounts of each. The use of wheat and oats for feed decreased from the previous crop year, by 29 million kilos and 42 million kilos respectively. Half of the cereal used in the food industry was wheat, a quarter was oats, two percent was barley, and the remainder was rye.

Background to the statistics

Information about cereal purchases is collected on a quarterly basis from all companies in Finland that buy cereals or rape and turnip rape directly from farms. Information about the use of domestic and imported cereals is collected on a quarterly basis from the food and feed industries and other industrial sectors that use cereals. Stockpile information is collected biannually from all companies that have cereals in stock at the end of June or December.