Boparan - On feed prices, affiliates and pass-throughs
All,
Aside from the positive news, and the parallel message sent just ahead of this one, we have done some (possibly vain) research into England and Wales wheat prices and their development in recent years. This follows an earlier analysis of the same in 2019 before the company announced it had negotiated pass-through language on 78% of its chicken sales.
Still, in light of the opaque sources of EBITDA this year and the notable drop in Chicken purchases from 2 Agriculture, it seems worthwhile looking at the development of those prices and what they could mean if the pass-through language is ultimately not as efficient as plain arithmetic would suggest.
For further reading please see the separate section on Feed Prices here.
Wolfgang
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2 Stephen Street
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E: wfelix@sarria.co.uk
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