We are all now looking towards the next rain event as a turn much warmer and windier this week will rapidly eat in to the benefits of the good showers last week. While last week’s rains at least ensured growers will be harvesting something this season, a few more weeks of the weather we are expecting this week will be the difference between a decent crop and an ordinary crop for many growers. Prices have remained relatively steady over the last week after weakening leading in to the rain event. Much of the loss in value was a result of a weakening basis with buyers now looking at a much more secure outlook for sourcing grain this season out of Southern grower areas. A stronger Aussie dollar has also played a role in falling values. While growers in the South are now expected to be getting decent crops off this year, the outlook for northern growing areas is still by no means certain, with substantial crop loss already locked in for many. The question is to what degree prices are supported, and possibly improve, arising from shortages in to domestic feed markets. Newcastle and Brisbane lines already attract a premium of $15-$20 over Port Kembla line prices.
With harvest now a matter of weeks away, we are still offering ha contracts for early canola crops that come off, with a premium for movement in the first half of October. Faba Beans, another early crop, are also holding steady with values delivered in to Goondiwindi or Narrabri still at $400. Also the rains last week will see summer crop planting begin of sorghum and cotton for many growers. New crop sorghum prices, while they have softened over the last few weeks still represent a good selling opportunity over where sorghum prices have been in the past. Please call the office with enquiries.
AgVantage Commodities pre-harvest meetings continue this week, with meetings in Wee Waa on Wednesday at the Wee Waa Motel at 8am, the Coonamble RSL on Thursday at 8am and at the Moree Golf Club at 9am of Friday. The meetings will go over the outlook for the coming harvest, along with an overview of on farm storage solutions, to help you maximise the return from your grain. Please call the office if you are interested in coming along.