All roads lead to Mystery Creek!
June 13, 2017
Welcome to Fieldays week. If you are heading to the Fieldays please drop in and say hi to the ADM team - site PB35 – in the main pavilion. There will be a number of the team on site including Kevin, Sid and Gerard.
Each Fieldays are slightly different depending on what the seasons either side have presented. This year the economics of feed supplementation has received a lot of focus coupled with the impact of feed on milk composition. Reading the tea leaves the new FEI may actually lead to a much greater understanding of milk composition and the range of factors that influence key milk characteristics. The challenge is to develop suitable feed combinations (blends) that achieve the desired outcome for both milk composition and the farms commercial parameters. ADM’s ongoing priority is to work alongside you to continue developing solutions that best suit your farming operations.
NZ Supply & Demand
Winter has seen the typical slowing of imports into NZ, however feed demand this winter is up significantly on the same time last year. Currently there are no known shortages in storage space or stock across the North and South Islands. At this stage NZ is on track to import about 1.9 MMT this year, up 400,000 MT on last year.
Prices continue to hover around $200/mt and spot is $210/mt or higher. The 2017 Fieldays may not see the frenetic buying of previous years due to farmer stepping into the market earlier in the year. Despite this PKE prices are attractive vs current milk prices. The current price range is allowing PKE to work itself into other livestock sectors such as Deer and Beef. The NZD has helped push the price lower despite little movement in the origin.
Origin Supply & Demand
Origin supply continues to recover. Prices have come off slightly owing to lack of demand from other countries although there is no panic among sellers. The price direction will largely depend on the price of feed substitutes in Europe, the largest PKE market.
Tapioca continues to be in high $200’s, low $300’s. DDGs depending on type are in the high $300’s to low $400’s. Kibbled Maize is in the high $400’s low $500’s. Canola Meal in the low $500’s and Soy Hull the high $200’s. Overall crop concerns globally continue to be isolated to relatively small areas. The large global stocks continue to reduce volatility in the market. The USDA’s June report was viewed as neutral to slightly bearish, in that US and world wheat and soybean end stocks were raised.
Phone the team on 0800-123-PKE for further information. Phone the team on 0800-123-PKE for further information.
Alternatively we look forward to seeing you at the Fieldays for your last chance bonus entry to win our drone!