In the current uncertain commodity markets, security of supply is starting to become more important than the price that is paid. Most players are still trying to lower prices if they can, but are sometimes left without leverage if they are in need of a product. More and more buyers are looking further ahead into the year as well, in order to reduce the possibility of missing out on required volumes.
The increased prices are caused by the tight supply and demand and the ever increasing prices for production costs, as especially feed/fertilizer and energy costs are extremely high. For most commodities, the increased production costs are being priced into the current price level. But most prices for end-customers have not increased that much yet, creating a market in which final consumption is not really affected (yet).
