Fact of the Day – Soybeans are an important ingredient for the production of crayons. In fact, one acre of soybeans can produce roughly 82,368 crayons.
With the weekend ahead forecasting above average temperatures of around 40 degrees in North Western New South Wales, it is quite difficult for many to find a silver lining for the 2017/18 season ahead. The heat matched with the burning winds throughout the days have been working their way west to east, which is continuing to take an extensive toll on crops across the region. This is also matched with the frosts that have been wreaking havoc on paddocks across the Central West as well. Internationally, the weather across the ocean is also one to watch with dryness seeming to ease with Argentina and Brazil to face some predicted wet weather.
New crop feed Wheat for January delivered in to the Downs is up and firm at just above $340 with current crop for October delivery at $335/mt. There continues to be moderate to strong demand for Barley and Sorghum which we have seen trending over the past weeks as prices also rise. Feed Barley delivered Downs for 16/17 season sits firm and just up on last weeks commented price today at $325, with 17/18 crop for January up as well for delivery in to the Downs priced at $330. Sorghum lingers just on the $305 mark for September and October delivery period in to the Darling Downs, where 17/18 Sorghum crop delivered Brisbane sits equally at $305.
For September in to early October, delivery for new crop prices in to the Gladstone and Mackay port zones have had a slight increase of $5 up to $960/mt. The premium for early delivery of new crop Chickpeas has enticed many growers in Central Queensland to offload some tonnage fresh off the header much like last season. The more southern delivery points such as the Darling Downs are priced for Oct/Nov at around the $900 (at time of writing) mark. Faba Beans as touched on last week are definitely coming to the forefront of most buyers and growers minds. With the season ahead struggling thus far, demand domestically as well as product suited for export is on the rise and prices will follow as well. Prices are still remaining at $255-70 Ex-Farm for now depending location from the Liverpool Plains heading north through Narrabri up in to the Downs in Southern Queensland.
The Cotton futures market came under only a little bit of pressure earlier this week, though this will not have a detrimental impact in the long run, especially with the focus on the upcoming US season. As we touched on last week, Cotton is still steady as the estimates released last week are pointing towards a higher yielding season compared to previous years. Bale prices are fluctuating only on a small degree as of late and are reasonably unchanged this week with 2018 cotton at $475 and 2019 cotton just below at the $450 mark. The Aussie dollar since last week’s comment has been quite uneventful with not too much to report (at time of writing today) the dollar sits at just above $0.80.