VIC Market Update – 12/07/2019

Tom Guthrie, General Manager Account Management

1 minute read

Well winter has well and truly set in across Victoria; days are short, cold and we continue to get showers across the cropping belt. Without wanting to sound like a broken record, production prospects continue to improve in Victoria and more broadly across the whole of the southern cropping belt from WA through to Southern NSW. This is not to say we are home and hosed, basis the BOM update yesterday we are far from it! However, as we stand today, crops are in good to excellent condition.

Markets were a little more interesting last week. Looking at old crop, canola is firmer and barley is steady, while wheat is off significantly as nearby demand is well covered. New crop markets were more stable. Wheat was steady while both barley and canola were softer to varying degrees. Grower selling generally remains light in Victoria.

Prices as at 12th July

* View of current market pricing. Does not represent current Agfarm bids.

 

 

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VIC Market Update – 5/07/2019

Tom Guthrie, General Manager Account Management

1 minute read

The Victorian winter cropping belt enjoyed good to excellent rainfall over the weekend with 10mm to 40mm falling across the state. Victorian winter crops are generally now in good to excellent condition as we move towards the half way point of winter.

As is often the case, local grain markets have eased as production outlook improves. This has been most notable in old crop cereals, where trade and consumer buying have pulled back their bids during the first week of July as nearby requirements appear to be satisfied. The other notable move down in price was for new crop wheat, where the premium to the barley market locally and to the export market globally has led to a hard correction week on week.

Pictured: Crops near Deniliquin.

Prices as at 4th July

* View of current market pricing. Does not represent current Agfarm bids.

 

 

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VIC Market Update – 28/06/2019

Tom Guthrie, General Manager Account Management

2 minute read

Old crop cereal markets are firmer week on week as trade buyers come to market to buy back June dated positions. Grower selling remains quite light, however, enquiry is picking up as we edge closer to the new financial year and new crop production prospect continue to improve. Consumer buying is light and out the curve as nearby cover is adequate. Interestingly, Western Australian transhipments continue to cap the delivered Melbourne market price, which in turn is keeping a lid on domestic premiums rallying higher in Victoria on old crop.

New crop cereal markets are steady this week as Victorian values present a significant domestic premium and as such are well over export parity.

As alluded to earlier, production prospects in Victoria continue to improve, although the short cool days have meant we’ve seen a number of frosts over the last week, which really slow the show down.

Prices as at 27th June

* View of current market pricing. Does not represent current Agfarm bids.

 

 

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WA Market Update – 07/06/2019

Tom Guthrie, General Manager Account Management

1 minute read

Western Australian grain growers are back on the tractor this week furiously getting the crop in ahead of the front which is due to hit the west over the weekend.

If the rainfall forecast makes it into the gage then a large part of the WA cropping belt would have received a significant drink/break in the season. Albeit it is very late, and we will need a kind winter and spring to see this one home! WA will see more hectares planted once the rainfall is confirmed and the late plant should favour barley and short season wheat varieties.

The positive forecast across Southern Australia, strong cereal production prospects in the northern hemisphere, the US corn crop going backwards, and associated futures volatility has pushed cereal values lower during the week. New crop grower selling has also slowed on this pull back.

WA wheat has become more compelling globally on this move lower, relative to both cash and US futures.

Pictured: This paddock in Mukinbudin WA will very much appreciate the forecast rain.

 
 
 
 
 
 
 
 

Prices as at 6th June 2019

* View of current market pricing. Does not represent current Agfarm bids.

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