Dry weather supports German rye prices

German feed rye prices remain stable in early July despite the arrival of the new crop. In northern Germany, prices are holding at around EUR 179/t EXW, as dry weather is limiting yield expectations and discouraging farmers from increasing sales.

According to regional market reports, rye supplies remain sufficient to meet current demand from the feed industry. However, the continued lack of widespread rainfall in July is raising concerns about final yields, especially on the light sandy soils where rye is commonly grown.

The market is also supported by relatively stable conditions across the European grain sector. Although Ukrainian rye remains cheaper on a FOB Black Sea basis, higher freight costs, insurance premiums, and geopolitical risks significantly reduce its price advantage for buyers in Germany.

Analysts note that rye production in Germany and France could be slightly higher than last season, but even modest weather-related yield losses could quickly tighten regional supply. In addition, Germany remains one of the EU’s leading rye exporters, providing further support to domestic prices.

Tags: prices, Germany, rye