Grain Report Friday - 10th January
What price do you want for your grain?
Overnight moves in international markets and yesterday's actual traded prices across Australia are below to help you determine your price. If you need to change your offer price, simply edit it before market open.
Grain markets were quiet last night amid positioning ahead of big USDA reports tonight.
Concerns over dryness in southern Brazil and Argentina is supporting the market. There is some rain in the forecast 6-10 days out which could relieve market concerns.
European markets were also quiet as traders return to work. Competitive offers from Argentina and eastern Europe and plentiful near-term supplies continue to be the dominant influence.
Canola ticked up on better demand, but gains were limited by a step-up in farmer selling.
$A was lower back under 62USc as weaker than expected local monthly inflation data firms the prospect of a February rate cut
BOM looking very wet 50-100mm for the sorghum belt, raising the prospect of some crop damage.
Locally, most of the liquidity has been provided by growers shifting stock to make way for the sorghum harvest in thin holiday type trade. Chickpeas are bringing a premium for delivery into Brisbane at $930/t before mid-January but fall back around $100/t for February delivery positions (that may run into the start of the sub-continent harvest in March). The rain forecast may free up some trucks that may have otherwise been occupied by the sorghum harvest that is now likely to be delayed.
The diversification of chickpea exports to other markets in the subcontinent means that the box trade in chickpeas (Pakistan, UAE, Bangladesh) ticks over all year round and it’s not dependent on access to the Indian market. Last year India accounted for just 6% of total Australian chick-pea exports.
Higher protein wheats saw $7-9/t gains in the west yesterday, but otherwise cereal prices were relatively flat. Lentils have moved back to season highs at $922/t delivered SA ports as traders encourage sales for bulk shipments ahead of the subcontinent harvest.
Canola bids bounced $10-20/t and are not far from season’s high as the weaker $A provides support and improves our export competitiveness. Still wary about the impact of the new Presidency on the global oilseed market.
24/25 Best Bids 9/12
Wheat APW1 $375/t Kwinana (n/c), $346/t Geelong (n/c).
Feed barley $328/t Kwinana (n/c), $312/t Geelong (n/c).
Canola EU $875/t (+20) & non-EU $735/t (+9) Kwinana, EU $797/t (+10) & non-EU $680/t Geelong (+10).
Open Market Call
Bids will be flat.
For further market commentary please contact the CGX team on 1800 000 410
CGX now own and operate the igrain market for grain stored on-farm
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Call 1800 000 410 or Email support@cgx.com.au
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