Reid Seaby, Agfarm Regional Manager WA
Happy days for farmers after more showers fell in WA cropping areas this week, with the possibility of more rain expected in the next seven to 10 days. The Geraldton zone followed up their wet June with between 20-50mm this week, the Kwinana zone had roughly the same although further east received around 10mm, and 10-30mm fell in the Great Southern (5-10mm in the east). The Esperance region again fell short with 5-15mm. WA crop conditions continue to improve but the eastern Albany zone and Esperance zone who had <10mm, are lacking subsoil moisture and will be hoping the falls continue. These areas did have a late start and in conjunction with the wind damage, it will be difficult to achieve average yields from here. Crop conditions north of the highway are good and will keep improving after the downpour this week.
International values were off this week, but domestic bids were supported by the continued dryness on the east. New crop bids were higher as a result, but 2017/18 wheat bids were lower week on week. Barley was the key mover jumping $6/MT to $310/MT FIS Kwinana for malt, while feed values rose from $278/MT to $281/MT FIS. Canola also moved in the right direction with both CAN and CAG moving $4/MT higher to end at $567/MT and $534/MT FIS respectively.
With full profiles of moisture and if prices move higher from here, growers may be inclined to take a little more price cover and increase their forward sales program.
Prices as at 5th July