SNSW Market Update 30/11/2018

Matthew Noonan, Agfarm Account Manager SNSW

Most of Southern NSW has had some sort of rain again this week, some only getting 1-5mm’s which allowed them to get back into harvest quickly. Closer to Wagga Wagga and up into the South West Slopes they had 20-40mm’s across much of the area stopping harvest for a few days. The outlook for the next seven to 10 days looks favourable for harvesting so we should see most farmers north of the Murrumbidgee finish, excluding some later irrigated crops.

Wheat markets in Southern NSW are getting strength from the feed market. Griffith SFW1 delivered January + carry is now pushing $430-435/MT keeping AGP1/ASW1/APW1 values rather firm in the system. This is also allowing much of the H2 or better to have good premiums, well north of $400/MT site in the majority of Port Kembla and Melbourne zones which is attractive for most sellers.

Barley continues to firm from its large dip on Chinese buying concerns. As we see feed wheat markets firm, barley should continue to rise and it doesn’t look like it will be too long before we see $400/MT exfarm in many areas. The question mark on barley values lies in the Western Riverina, Central West and South West Slopes supply and demand complex with other markets (ie Northern NSW) gaining their supply elsewhere, which will be even more the case if a sorghum crop is of any substantial size come March.

Canola markets have remained steady most of the week. It looks as though any increase in canola values for now will come from overseas with CBOT soybeans, ICE canola or MATIF rapeseed. The feeling is most local crushers/buyers have at least Q1 2019 covered and where opportunity presents, will look to gain length as they push through next year.

Pictured: Irrigated corn west of Wagga Wagga

Prices as at 29th November

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

 

Follow us on social media