Aug 13

Weekly Grain Traded CGX - 12 August

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

Improvement in buyer demand - Demand for Australian grain improved last week as more buyers matched grower offer prices to accumulate.
27 buyers met grower prices to purchase 22 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.

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

Market stats for last week

27 buyers purchased grain on CGX - more were searching for grain
62 sellers sold grain through CGX across 100 transactions - more were offering grain for sale
9 agent and/or advisory businesses sold grain on behalf of growers
22 different grades traded
5 commodities - Wheat, barley, canola, lupins, and sorghum
11 port zones traded across QLD, NSW, VIC, SA and WA

Improvement in buyer demand

Demand for Australian grain appeared to improve last week with an increase in the number of buyers matching grower offer prices and buying Australian grain.

27 buyers purchased 22 grades of wheat, barley, canola, lupins, and sorghum from 62 sellers across QLD, NSW, VIC, SA and WA last week.

Significant purchases of wheat in international markets in recent weeks may be providing some confidence prices have fallen enough to buy demand.

Supply of grain is flowing into markets from North America and the Black Sea and while crops are good out of North America, they're not that good in the Black Sea and Europe, and market consensus is that global wheat stocks will be tight.

Australian stocks are also expected to get tight ahead of the coming harvest and so that may provide some buyer interest for grain near term to get through.

Higher protein wheat grades continue to attract better prices than lower protein grades, however the price spreads between ASW1 and lower grades is relatively tight.

Feed barley prices continue to trade near lower grades of wheat with malt grades attracting better prices. Buyers are looking for sorghum and lupins continue to trade up at $560/t in the west.

Grain stored on farm is sought after by many buyers given the extra flexibility and sometimes savings in execution.

Grain stored on farm and listed for sale on igrain is seeing plenty of buyers searching and trying to make the price asked for by growers work.

Multiple grades of corn, wheat, barley, lupins and field peas traded through igrain last week at prices many growers did not think would be available.

If you don't ask you don't get! If you have grain either in warehouse or on-farm, make sure you OFFER it for sale on Clear Grain Exchange or igrain respectively.

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.

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.

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

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.