Reid Seaby, Agfarm Regional Manager WA
It’s been a wet week across most of WA as the remnants of ex-tropical cyclone Joyce moved down the coast, dumping over 100mm of rain in some areas. Many question the value of summer rainfall events such as this one, given factors such as the cost involved in the reduction in grazing quality of feed and stubble, the greater propensity for flystrike, and of course management of the weeds that rapidly germinate. On the other hand, others I have spoken to this week see great benefit in having a ‘base load’ for the upcoming season, as well as full dams to water stock through February and March.
Onto the markets, CBOT wheat futures declined heavily last week with the release of this month’s USDA report, and the news of a higher US carryout than the market was anticipating. Fortunately, domestic basis values firmed and local prices were essentially unaffected by the report. Bids did however come off as the week progressed. Canola’s fall continued as Kwinana FIS bids dropped $10/MT week on week.
Prices as at Friday 19th January 2018