Jun 25, 2024

Weekly Grain Traded CGX - 24 June

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

Buyer-seller price spreads widen - Yet the volume of grain traded, number of sellers, and number of trades all increased last week on CGX....
22 buyers met grower prices to purchase 19 grades - Wheat, barley, lentils, and oats traded in 10 port zones.
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.

22 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.

Grain market statistics for last week

22 buyers purchased grain on CGX - more were searching for grain
6 in Eastern Australia
9 in South Australia
9 in Western Australia
58 sellers sold grain through CGX across 82 transactions - more were offering grain for sale
6 agent and/or advisory businesses sold grain on behalf of growers
19 different grades traded
4 commodities - Wheat, barley, lentils, and oats
10 port zones traded across NSW, VIC, SA and WA

Buyer-Seller price spread widens

The volume of grain traded, number of sellers, and number of trades all increased on CGX last week despite the number of buyers purchasing grain falling.

It's indicative of the current market dynamic. Published buyer bids have fallen significantly, grower offer prices have been more reluctant to move, creating a stand-off between buyers and sellers with different price ideas.

Yet some buyers are needing more grain in the near term and this has seen them bid up to, or closer to, grower offer prices for specific grades and locations.

22 different buyer businesses purchased grain through the exchange last week with another 90 searching for grain and contributing to a total of 3941 searches for grain offered for sale last week.

Growers have been active in showing the market their sell price by OFFERING grain for sale at the prices they want which are often well above current published bids.

The OFFERS are showing buyers grower price expectations and growers know they're protected by anonymity and secure settlement if it trades.

Wheat grades made up 84% of all grain traded through CGX last week, barley grades accounted for 15%, and lentils and oats made up the balance.

ANW1 noodle wheat traded up to $540/t last week in the west, H1 and H2 were trading $410/t and $400/t respectively, and feed barley traded $350/t in Albany as examples.

H2 wheat was trading $370/t in Port Adelaide which was only slightly higher than AGP1 trading $367/t, while feed barley traded $344/t.

Melbourne port zone saw H1 trade $485/t track, H2 was $369/t, ASW1 was $336/t and feed barley traded $332/t as examples.

The falls in buyer published bids have been noticeably more prominent in the eastern states which has made it harder for those markets to come together and trade.

However per the examples provided, buyers are still wanting grain and often prepared to pay more than you may realise.

If you don't have your grain OFFERED FOR SALE it can't sell and you will never know!

Growers have a say in the price of Australian grain. Show ALL BUYERS your sell price by offering it for sale on CGX or igrain.

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!

There's no downside. Growers are protected at all times on CGX by remaining completely anonymous and retaining title of their grain until paid with CGX's secure settlement.

Many prices have improved in recent weeks

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.