Central NSW Market Update – 04/12/2017

Alistair Murphy, Agfarm Account Manager CNSW

Markets were erratic and somewhat mixed last week as domestic and international influences caused some interesting marketing movements. Canola was hit hard, coming $10-15/MT off the previous week’s highs depending on location. The main driver for this downside was weakening international values coupled with some liquidity in the Victorian market where production is better.

Interestingly the wheat market was mixed, mainly due to concern of crop quality post the East Coast rain event. Protein APH1/2 continued to soften slightly, although it appears this market has done enough movement to the downside for now, reaching levels where there is plenty of depth in the buyer bid.

Base grade track Newcastle ASW1 saw the week out unchanged, although APW1 firmed to the upside. It looks as though with the majority of the crop being protein, buyers are finding it difficult to source APW1, and concern around the upcoming rainfall has seen this market start to firm against the SFW1 feed wheat complex.

The Darling Downs feed wheat complex also softened softened this week as speculators predict crop downgrades due to rain in the more Southern areas where harvest is less advance. It is interesting to note barley actually firmed last week, all due to lack of liquidity in these markets. Growers are just not interested in letting barley go at current prices, instead preferring to sell APH wheat at $300+ levels.

Chick pea values continued to trend downwards, dropping below the magic $700/MT delivered Central NSW packers level for the first time in a long time. While cereal harvest is pretty close to being knocked over in Central NSW, the completion of the pulse harvest still seems it will continue to carry on into mid-December. Although yield prospects in chick peas is looking quite dismal in the majority of our region, the wet finish and a cooler September-October has prolonged the maturity to a stage which is required before harvest can commence.

Photoed: Recent rains around Trangie postponing the last of the Central NSW 2017 cereal harvest.

CNSW

Prices as at Friday 1st December 2017

pricing tables 201712013 CNSW

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