Key facts
- Europe's grain farmers lost an estimated €2 billion in revenue due to a June heatwave.
- The heatwave destroyed approximately 9 million tonnes of grain crops.
- This reduction marks the smallest harvest in the EU and UK since 2018.
- Key crops affected include wheat, barley, maize, and oats.
- France, Hungary, and Spain are among the countries facing the most significant losses.
Europe's grain industry is facing significant financial losses following a severe heatwave in June, with estimates suggesting a €2 billion reduction in revenue and the destruction of 9 million tonnes of crops. This marks the smallest harvest in the EU and UK since 2018, impacting staple crops like wheat, barley, maize, and oats.
The extreme temperatures, which saw parts of Western Europe average 3°C above normal and reached over 43°C in some areas, coincided with critical growth stages for these crops. Maize was affected during pollination, while wheat suffered during the crucial grain-filling period, when moisture is needed for yield development.
France is expected to bear the brunt of the economic impact, with an estimated loss of 3.4 million tonnes of maize and a financial cost of nearly €891 million. Hungary and Spain also face substantial losses, with millions of tonnes of grain affected.
This reduced harvest is anticipated to increase Europe's reliance on grain imports, potentially driving up global commodity prices. The situation is compounded by drought conditions in the southern and western United States, which are also tightening global crop supplies. The impact on livestock sectors due to higher feed costs is also a concern.