Spring Linseed Marketing and Contracts
Hedge Price to Secure Profits
Linseed is a small crop (only 1.5-2 Mt globally) with few major suppliers. Canada was the major source, but GM contamination issues allowed Ukraine, Russia and Kazakhstan to become more active in the market. The Linseed market has proved to be notoriously fickle, so for the UK grower, the over-riding factor is to avoid the low prices rather than to aim for the peaks.
There is no futures market for linseed so prices are a function of supply and demand ie "physical" as opposed to "speculative" as can often be the case with OSR for example
Our advice is always to secure a sensible price, for an easily achievable quality (i.e. for crushing/compounding rather than for human consumption quality). To grow Linseed without having first locked into a price, or to depend on achieving high quality, is to take a huge gamble with the odds stacked against success.
Our customers benefit from a range of marketing options including:
- Fixed prices
- 10 - 30% premiums over OSR
- Minimum prices
- Combinations of the above
- Any like for like offer beaten - Guaranteed
Always ring for the latest offers, not all terms on on the website
Our customers benefit from the most flexible terms in the market:
- "Produce of the hectarage" contract
- No capped load charges when delivery goes to end-user - Guaranteed
- No claims or rejections for visual quality - Guaranteed
- Oil bonuses for certain varieties
- No claims for admixture up to 5% which could easily be worth £20/mt compared to other markets!
Most Linseed is crushed to produce technical oils for use in paints and varnishes. The oil is not used for human consumption like Rape oil. An increasing market for Linseed is for specialist animal feed, based on the naturally high Omega 3 content of Linseed. Premium Crops is the exclusive UK supplier of Linseed to Valorex, a French animal feed company. They buy over 55,000 tonnes of Linseed each year for use in animal feeds. Livestock fed on Linseed-based feeds (known as "Tradilin" in France) produce meat and milk with improved Omega 3 content. The animals themselves show significant benefits.
For example, dairy cows using this product show:
- Improved milk yield
- Increased fertility
- Reduced acidosis
- Improved body condition
- Reduced methane output