Fact of the Day – Antarctica, on average, is the coldest, driest, and windiest continent on earth. It is also considered a desert, with annual precipitation of only 200 mm, along the coast and far less inland.
This time next week we will be in to November, and for now, it’s not looking to be another cool spring month. Temperatures are already hitting the mid-thirties, though for now it isn’t too stressful considering the scattered falls we have had as of late ranging from the central west up to the Downs. For now we stand in the twilight zone in regards to summer crops. Sorghum is rallying and softening day by day, based on current moisture conditions and who is planting what, where and how much. Cotton planting is also underway, with most growers happy with their current soil profiles for the season ahead. Mungbeans are also looking to be an alternative for those considering to take advantage of recent falls.
Headers are now rolling in to paddocks to get a gauge on what quality and quantity is like after the last month of welcomed rain. From Moree south, there is not an abundance of Sorghum looking to be planted, as some areas just haven’t had what the border regions received rain wise. With the planting window closing heading in to November, those who choose to hold off will not look to plant till later in the year and try to bank on some later summer rain. As for how the Chicago trade is tracking, the futures have climbed overnight on the back of reports we may produce the lowest tonnes this season of our last ten. The next few weeks will be more than telling once there is more info on the southern cropping areas progression (Victoria, South Australia).
Early reports from growers getting in to their Faba beans are quite positive. It seems the beans are in great shape, it’s just a matter of foreign material and splits that are letting them down from the top grade, though feed Faba demand is still high, even if the beans are from either of the last 3 seasons. Grading may be an option for some, if chasing the export market of $750 for #1’s less twenty dollars for #2’s. Chickpeas continue their lacklustre form with the market softening more this week on both new and old crop. On an international demand point of view, Bangladesh are our only suitors and they know this and are playing the game accordingly. Pakistan is buying straight out of Africa for about a $70 discount, Nepal are not in the market and the sub-continent still are keeping to themselves domestically. For now both markets are quiet, and the $800 levels for new crop being bid are looking even more appealing when taking in to account how the last twelve months have served us.
Cotton has had a rollercoaster of a week so far, prices from last week to now have moved from $625 to $645 in just a few days of trading. The factors that have made most of the impact are Hurricane Michael that is over the southern states, and current rain around Texas, forcing picking to slow down and heightening quality concern. Prices today for seasons ahead now stand at 2019 $636, 2020 $595 and $540/bale for 2021 and 2022 (at time of writing).