Persistent dry weather across Europe is set to push the price of cereals and grains ever higher, it is claimed, affecting firms in the animal feed industry.
According to data from the Department for Environment, Food and Rural Affairs (Defra), the UK has had just 61 per cent of its normal rainfall in the last three months.
In addition, soil in the north of France was the driest it had been at the end of April for 50 years, Bloomberg reports.
This means that crop harvests are being reduced, pushing already high grain prices further upwards.
Allan Wilkinson, head of agriculture for HSBC, said that UK oilseed and grain yields may be cut by as much as 20 per cent, but straw and corn for the animal feed industry is likely to be worse affected.
"Straw is going to be very expensive. In all of my farming years, on the farm and now at the bank, I've never known anything like this," he told the news provider.
Defra has also warned that UK rivers are running at extremely low levels.
Typical Guttridge equipment used in the animal feed industry includes:
Conveyors – screw conveyors – chain conveyors – belt conveyors
