# Poor Oat Crop Compounds Oatly’s Problems | Food Processing

> Oatly reported that poor US oat production is hurting its margins, with gross margin falling to 16% from 28%. Oat prices are forecast to reach a record $4.20 per bushel after 2021 production declined from drought and transportation problems.

- Date: 2022-03-29 · published 2022-03-29T12:00:00.000Z
- Category: weather · region US · magnitude medium
- Page: https://feedsoft.ai/events/42334-poor-oat-crop-compounds-oatly-s-problems-food-processing
- Commodities: [Oats](https://feedsoft.ai/c/OATS.md)

## Why it matters

Tight North American oat supply and record-high prices raise input costs for oat processors and oat-based food makers, and can spill over into oat feed and forage demand.

## Read by commodity

- OATS: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| OATS | 2022-04-11 | [Poor crop yield forces oat producers to raise prices - The Strategic Sourceror](https://feedsoft.ai/events/41892-poor-crop-yield-forces-oat-producers-to-raise-prices-the-strategic-sourceror.md) | -4.2% | -18.8% |
| OATS | 2021-11-04 | [As demand for oat milk increases, oat supplies wanes due to drought, demand \| Dairy Processing](https://feedsoft.ai/events/44115-as-demand-for-oat-milk-increases-oat-supplies-wanes-due-to-drought-demand-dairy.md) | -0.9% | -0.8% |
| OATS | 2021-12-22 | [Why coffee and oat prices are rising faster than oil’s](https://feedsoft.ai/events/43654-why-coffee-and-oat-prices-are-rising-faster-than-oil-s.md) | +4.3% | -3.9% |
| OATS | 2021-11-01 | [Tiny North American Oat Crop Could Be Coming for Your Breakfast](https://feedsoft.ai/events/44606-tiny-north-american-oat-crop-could-be-coming-for-your-breakfast.md) | +2.6% | +2.3% |
| OATS | 2021-10-12 | [Drought pinches oat crops — and food makers that rely on them](https://feedsoft.ai/events/44609-drought-pinches-oat-crops-and-food-makers-that-rely-on-them.md) | -1.6% | +7.5% |

## Sources

- foodprocessing.com: https://www.foodprocessing.com/product-development/beverage-products/news/11289595/poor-oat-crop-compounds-oatlys-problems

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.
