SNSW Market Update 12/07/2019

Anthony Hall, Regional Manager NSW & QLD

2.5 minute read

The change that came through last weekend brought some more welcomed rainfall. The falls were heavier across the southern part of NSW and across to the south east, following similar patters as the last three to four falls. The difference this week was the central part of NSW received rain this time. The likes of Condo and The Lake managed to catch 10-15mm. There is still a big divide between the central part of NSW and the southern. The southern crops are well established and sitting on good moisture were as anything in the central part was late and living hand to mouth on small showers of rain. If we don’t get a kind spring, a lot of later crops will struggle to make grain. We have certainly seen the best of the winter weather this week; cold and windy which will slow everything down for a couple of weeks.

There is still bit of barley and wheat trading to those feeding livestock. Demand is a little greater in the central region and northern NSW due to the poor season. While there is not a lot of difference between wheat and barley, most are leaning towards barley as it is a little safer. The big question is what will happen to prices over the coming months? We are still trading at $80/MT premium over new crop values. It’s expected as consumers seek comfort in their stocks through to October they will take a back seat on purchases and see if there is a correction in values. Spring weather conditions is still the big decider on what the size of the new crop will be. It’s forecast to be below average rainfall so it’s anyone’s guess how prices will unfold.

 

Pictured: crops looking good south of Urana

Prices as at 12th July

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

 

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