Aug 5

Weekly Grain Traded CGX - 05 Aug

CGX now own and operate the igrain market for grain stored on-farm

Fickle grain demand last week - Demand for grain was very sporadic and hard to predict, growers offering grain for sale gave it a chance to sell.
19 buyers met grower prices to purchase 15 grades - Wheat, barley, canola, and sorghum traded in 8 port zones across QLD, NSW, VIC, SA and WA.
CGX and igrain enable growers to offer grain for sale - Growers delivering to warehouse can offer grain for sale on CGX. Growers with grain on-farm can offer grain for sale on igrain and determine pickup/delivery timeframes.

27 buyer businesses purchased grain through Clear Grain Exchange (CGX) last week. More buyers were searching for grain offered for sale. — 19 buyer businesses purchased grain through Clear Grain Exchange (CGX) last week. More buyers were searching for grain offered for sale.

When your grain is offered for sale on CGX all buyers can see it and try to purchase it.

Market stats for last week

19 buyers purchased grain on CGX - more were searching for grain
40 sellers sold grain through CGX across 54 transactions - more were offering grain for sale
4 agent and/or advisory businesses sold grain on behalf of growers
15 different grades traded
4 commodities - Wheat, barley, canola, and sorghum
8 port zones traded across QLD, NSW, VIC, SA and WA

Fickle grain demand last week

Demand for grain was at the extreme end of fickle last week with prices and trades hard to predict.

International demand is broadly focused on supply from other parts of the world and this is trickling through to Australian buyers who appear content to sit on the side-lines unless demand pops up and they need grain.

Domestic users and traders remain more active, albeit were also generally reluctant to bid markets much last week preferring to draw down existing holdings.

The Australian Grain Industry Conference (AGIC) being underway in Melbourne may also have had something to do with it given much of the trade was attending.

Despite this some very strong prices were traded for specific grades in specific locations that suited buyers - ANW1 traded $600/t Kwinana as an example.

Demand for grain stored on farm continued to fair a little better in terms of demand through last week as buyers look to use their logistics to make grain parcels work.

Buyers continue to look for grain they can buy, however currently grower price expectations are broadly higher than buyer price ideas.

This may not always be the case with spots of strong demand seeing prices push up significantly to get the business done as evidenced with some of the trade prices.

By having your grain on offer for sale on Clear Grain Exchange or igrain, it means you don't miss opportunities that may pop up to sell your grain at the price you're after. If buyers can't buy it now, they know it's there and stay interested, trying to purchase it in the future if the market allows them to push their prices higher.

There is no downside in offering your grain for sale on CGX (if in warehouse) or igrain (if stored on farm) - only upside!

It is free to have your grain on offer and you can edit your offer price or cancel your offer at anytime before it trades. Plus you're anonymous at all times and protected by best-in-class contract settlement if your grain sells.

Simply login to your CGX account to view all prices and determine what you think your grain is worth. If you need help using your CGX account, just call us. We're available anytime between 9am and 8:30pm AEST and happy to help!

Many published "bid prices" have pulled back recently

Chart: Traded prices on CGX are dots versus best published bid lines.

Chart: Traded prices on CGX are dots versus best published bid lines - triangles are CGX trades at other sites within the same port zone worked back using GTA location differentials to equivalent prices at the site of the chart for comparison.

A summary of what traded on CGX last week is provided in the charts and table below. See more prices of what traded by logging in to your CGX or igrain accounts.

The tables below provide a summary of traded prices on CGX last week

Note: GTA location differentials are used to convert prices to a port equivalent price, actual freight rates can differ particularly in the eastern states. You can offer any grade for sale to create demand.