Orion Farming Group Weekly Straights Update: 6th March 2026
- Orion Farming Group
- 5 days ago
- 3 min read
The figures in the charts are an indication only and reflect levels traded on Wednesday.
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Soybean markets have firmed this week.
Escalating tensions in the Middle East have underpinned risk premiums and supported freight rates, lending strength to nearby physical values.
Demand remains mixed with China showing reduced appetite for US origin beans, weighing on export sentiment and contributing to recent volatility.
In South America a weaker Brazilian real and slower farmer selling in both Brazil and Argentina have tightened nearby availability alongside ongoing US domestic tightness.
While short-term sentiment is supportive downside risk remains.
There is no confirmed timeline for Erith returning to full operation, leaving nearby supply tight and values elevated.
Aug/Oct ex-Erith positions are offering comparatively competitive value and attracting measured forward cover.
Trade sentiment suggest a return to last year’s levels is unlikely, primarily due to reduced European availability as a greater proportion of canola seeds makes its way to China rather than the EU.
Rapemeal appears attractive against alternative mid-proteins such as maize distillers.
Once Erith resumes production and physical availability improves, the expectation is for supply pressure to build and values to ease accordingly.
The market remains firm with restricted spot availability and most nearby coverage already committed, leaving limited options for buyers ahead of new crop arrivals.
At origin demand remains strong and Argentine crush margins are supportive, with freight currently the main bullish variable as geopolitical tensions keep shipping costs elevated.
Domestically, hulls continue to offer reasonable values against alternatives such as sugar beet.
In the US logistical disruption along the Mississippi persists with operators still clearing backlogs and freight flow yet to normalise fully.
Plant optimisation has increased wet distillers output, minimising dry availability and preventing the usual seasonal offering in values.
The resulting supply tightness is underpinning firmer pricing and driving additional demand for wheat distillers as end users seek alternative protein coverage.
The market remain fundamentally tight with limited spot availability and no clear signs of oversupply to exert downward pressure on prices.
Looking ahead to the summer, current European pricing and freight economics are unlikely to facilitate meaningful imports into the UK, leaving Egyptian origin material to meet the bulk of incremental demand and underpin values.
With British Sugar yet to release its summer offer many end users remain on the side lines awaiting clearer pricing direction.
Global wheat futures have strengthened this week underpinned by US/Iran tensions and a wave of short coverings across major exchanges.
Beyond geopolitics, attention is turning back to fundamentals with much needed rainfall forecast across previously dry US winter wheat regions.
Ongoing volatility in the crude oil markets is also expected to remain a key influence on broader grain direction.
In the UK the recent £3-£4/T uplift has prompted renewed grower selling.
However with ample global grain supplies, sustained upside seems limited unless disruption in key shipping lanes materially impacts freight and currency markets.
New crop wheat and barley values have risen £6-£8/T in recent weeks.
On balance both old and new crop continue to represent fair value.
And finally, totally irrelevant but quite interesting facts of the week…….The most distant object in the universe is 13.42 billion light years away and to get to the nearest star at a tenth of the speed of light would take 42 years and need fuel weighing as much as the sun.
Notes:
All figures in this report are provided by KW and commentary by GLW Feeds. Price indications are based on 29t bulk tipped loads delivered to Oxfordshire and are guide prices only.
For firm prices and availability, please contact Joe Cobb on 01865 393 139
Currency Trends as of 04.02.26 Blue = GBP:USD. Red = GBP:EUR
