Overnight grains took a dive with no real news to maintain gains over the past session. Fundamentally, the market continues to remain bearish so with nothing to ignite the flame, it fizzed & grains closed lower.

This move hasn’t really transferred into Aussie dollars today. Old crop wheat values onto the Downs remains around $323-325/mt delivered for some immediate shorts to fill. We believe once these are covered, prices will drop back to around $315/mt delivered, as this is where we see the ‘rest’ of the grower bids.

Today, we have seen new crop chickpea numbers take an exciting leap up. Delivered Narrabri today would be $473/mt for Nov/Dec delivery, Goondi at $458/mt and Downs at $478/mt. These values are for fixed tonnage contracts.

Faba beans today are $410/mt for new crop into Narrabri and $435-440/mt delivered Dalby. We still have a number of alternatives for new crop mungbean contracts. We can price on a delivered Goondi or Downs basis. Prices remain steady this week.

This week Steve & I have been at AgQuip. It was nice to spend a day or two out of the office and catch-up with some familiar faces and to meet some new growers. It’s no surprise that a lot of growers we met were from down south, where winter crop conditions have been more favourable than in the north. We have been hearing of frost damage to crops between Narrabri and Moree. The hardest hit have been faba beans and canola, and the earlier planted wheat. The extent of frost damage is always difficult to estimate until we get headers in the paddock but there is talk of growers running ploughing faba crops back in to put some nitrogen back in the soil.

A general 30-40mm rain this weekend has boosted grower confidence across the region. We will certainly want to see another fall in September to get crops home, but it’s a great start.