CNSW Market Update – 11/01/2019

Matthew Noonan, Agfarm Account Manager SNSW

Weather hasn’t been so kind since Christmas, with very warm conditions (well into the 40’s) experienced through much of Central NSW, Northern NSW and into QLD. We haven’t seen much major follow up rain since the large falls at the end of last year. Most activity has been stormy conditions with more dust distributed in some cases then actual precipitation. Eastern and western parts of Northern NSW over the last week have received 0-5mm’s while further south closer to Dubbo and east some falls have been noted around 10-30mm’s or better. In QLD most rainfall activity has been in the far north or situated around coastal Central QLD areas from Mackay south towards Gladstone areas all receiving 25-50mm’s. Further inland towards Emerald totals dropped back to around 5-15mm’s. In the south of the state there has been next to no rainfall while heading into the Darling Downs it varied from 0-10mm’s over the past week.

Looking across markets they have remained rather steady over the past few weeks but no doubt some numbers will be higher as buyers/consumers start to call on deliveries over the coming weeks/months. F1 barley delivered Darling Downs is priced at around $410/MT with a few extra dollars for Western and Northern Downs destinations. SFW1 has most buyers around the $440-445/MT mark with offers coming in around the $450/MT levels. Premiums appearing above these levels could be the situation moving forward should consumers/buyers find themselves short. However, this will be determined by what WA grain is being delivered to Brisbane/Newcastle ports and the price of execution into Northern NSW and QLD. As we creep closer towards sorghum harvest interest and some liquidity has brought small downside to markets post Christmas with SOR1 delivered Darling Downs March 2019 pricing around the $345-350/MT levels which is $3-5/MT off December highs. As harvest gets underway in the coming weeks all eyes will be on early yields with varying estimates on the size of this year’s crop. Anything close to a 2MMT sorghum crop may push prices lower in the med-long term, time will tell.

Good luck in 2019 to everyone.

 

Prices as at 10th January

 

 

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

 

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