The WA report is out early this week, and it exhibits receivals streaking forward final week. With over 11mmt of grain obtained in WA to this point, the west is roughly in step with final yr’s receivals. Final Friday, CBH obtained 632,001 tonnes, solely barely lower than NSW and Victoria for the week. With a giant crop forecast, there ought to nonetheless be three massive weeks of receivals to come back.
On the east coast, the intermittent rain and funky climate had NSW operating round 2mmt behind the identical week final yr, with Victoria round two weeks behind. SA was equally gradual to week six, and rain over the past week is prone to have seen the harvest additional delayed.
On a optimistic observe, there was little reporting of high quality downgrades but. This may be as a result of the harvest is but to get getting into affected areas. The following couple of weeks will inform whether or not there will likely be extra feed grain and fewer milling wheat produced.
On the value entrance, we’re not seeing any reductions for feed grain but, which is an indication high quality hasn’t been affected too badly. Determine 1 exhibits the BAR worth at numerous ports, together with ASX Wheat Futures.
US corn and wheat futures have discovered a base in latest occasions on the again of easing commerce tensions with China. The regular to evenly greater costs have been mirrored in costs right here, that are but to get an actual enhance from the gradual harvest. A little bit of pent-up export demand may assist help costs when the jap harvest does get totally rolling.
Canola costs are nonetheless the shining mild for grain producers. Determine 3 exhibits canola futures costs edging greater, once more on the again of higher buying and selling situations. The native low cost for standard canola to Matif futures is between $40 and $100 per tonne, relying on the port. At occasions final yr the low cost was effectively over $100, so canola within reason promoting for harvest money circulate.
