Peter Smith, President of BEPA, comments on the latest developments in the pulse market

Pulse export trading over October has remained lively – hopefully reflected in Q4 levy returns to PGRO after low collection to date.

Overall French bean production was 332,000 tonnes, 36% lower that the previous harvest. Despite this, they exported a record of 245,535 tonnes to Egypt in the July 2011 to June 2011 period.

The UK produced approximately 450,000 tonnes this autumn, but exported considerably less than the French over that period.

There is a report that French co-ops are involved in a carbon credit scheme which earns them money for growing legume crops, which can either go back to growers or be allocated for research.

Feed Beans

Not much change since September but prices have eased to around £175/tonne ex-farm. The premium for beans over  wheat has narrowed recently to around £30, which is slightly more attractive to compounders - but very little has been taken up this year by this sector.

Human consumption beans

UK and French shipments have continued to go out to Egypt over October, despite some quality rejections at the port. Export beans are trading at about £30/tonne premium over feed at the moment. Sudan has been issuing import licenses for bagged beans which have also benefited UK exporters. Trading should continue through November before the Australian crop becomes available in the New Year - their crop is reported to be larger and of better quality than last year.

Marrowfats

There is still interest from Japan and China, but little trade at present. The UK canning/mushy pea trade is steady as expected at this time of year.

Blue Peas

The shortage for micronising is keeping prices up at £250/tonne+ and the micronisers are pulling some contracts forward for a change. Traders are seeking forward cover with reports of a poor Canadian crop this year.

White Peas

Inevitably, with the Canadian supplies lower this year, French exporters have done well, and their peas are coming into UK in large quantities. Anyone with UK origin white peas this year could have cashed in with prices of over £270/tonne