We’ve received some good falls of rain during the Christmas / New Year break and although a lot of regions would love to see more, we can’t complain about what’s already fallen. Domestic values in the north remain supported even on the back of this and we expect there will be/has been more sorghum planted as a result.
Chickpeas have taken a massive leap during the break and today are at $570/mt delivered Downs. These prices are for mixed delivery periods. For growers wanting prompt or even Feb pick-up or delivery, most prices are $10-15/mt below the above. Traders are working off a $5/mt per month carry from Jan through to April. We have delivery points into the Downs, Brisbane, Allora, Goondi, Moree, Narrabri, Wee Waa and Dubbo. These jumps cannot be attributed solely to currency moves as chickpea prices continue to jump while the Dollar remains steady. Pakistan had re-entered the market and we are expecting a decline in planted area and yield from the Indian crop, which won’t be confirmed until Feb/March. Fabas have remained quiet during the holiday break, but the export market has raised it’s head and we have demand for prompt delivery at $475/mt for No1 quality delivered Narrabri.
Cotton hit $500/bale just prior to Christmas and traded up to $10/bale above this between Christmas and New Year. Today it is at $500 for 2015 crop. We still suggest growers sell the rallies, and we have seen some selling through the Christmas break, when prices jumped above $500. 2016 prices today are $475/bale for anyone looking to price further out.
We are still looking to buy barley and wheat into domestic market delivered to a range of local destinations or ex-farm. With freight prices currently at very sharp rates it could be prudent for growers to give strong consideration to pricing grain on an ex-farm basis rather than delivered. APW $310 Ntl track south Narrabri and west to Nyngan. Delivered LPP SFW today is around $304 and Newcastle delivered $314/mt. We can also look at ex-farm pricing. Demand remains for high protein wheat delivered into Narrabri, with particular interest in off-grades, such as AUH and HPS.
As we all know durum demand and prices disappeared in the weeks after harvest, but we currently have interest for Durum into Newcastle – delivered. This demand is for export and predominantly DR1 but other grades can be priced on a parcel-by-parcel basis with price ideas for DR1 around $580/mt.
Sorghum values remain well supported and today are sitting at $314/mt delivered Downs, $285/mt delivered Narrabri and mid $320’s delivered Newcastle. We have a number of buyers who are keen to look at parcels and see offers as well. We also have a discount for SOR2 for forward contracts.
With recent rains there is still consideration being given to plant mungbeans now for April harvest/delivery. These prices have ranged throughout the season from $1150-1250/mt for No1 Processing quality and today are sitting around $1200/mt delivered. This is on a hectare contract with no minimum or maximum requirements for tonnage. There are a few bells and whistles and we have a range of delivery destinations and buyers available so we suggest giving us a call to discuss what options are out there. As always, the ‘best price’ isn’t always ‘the best price’, especially when you have differing grading & bagging charges, payments for grade-outs, freight rebates and payment terms.