Fact of the Day – Carrier pigeons beat internet upload speeds up to as late as 2010. They actually sent pigeons over with USB sticks the same time they started uploading a video over broadband, the pigeons won.
Just like October, December looks to be off to a wet start with solid rains forecasted for the North West and Southern Downs. With the majority of the fall set to arrive Friday, the days leading up are expected to provide rolling showers accompanied by the odd summer storm. With the majority of harvest now over, the rain is a welcome change of scenery and temperature when reminiscing on the December faced across the region last year. There is still an amount of Chickpeas looking to be stripped over the next couple of weeks heading more east of the Newell, though with the weather predicted this will increase grower frustration and crop quality. The markets stateside have now shown a bit more gusto this week after no real direction was seen due to the Thanksgiving holiday. The US winter crop is struggling considerably and there doesn’t seem to be much respite coming anytime soon. The condition has been re-evaluated and with no wet relief in the short term the plant progression will continue to be dismal.
Now that November has come to an end, the main focus looks to grain over the December/January period for feed Wheat, Barley and Sorghum. With the large amounts of rain also predicted throughout southern New South Wales, the quality may be affected considerably and this could impact the NNSW and SQ markets through increased deliveries as the bulk of northern Wheat went to the protein markets. As domestic demand still remains strong through the delivered and Ex-farm markets, now is the time to start laying out your own schedule for grain movement leading in to the next 2-3 months. As the festive season can be very stop and start in regards to office and site closures, it is best to have delivery periods and contracts organised to keep cash flow steady to accommodate this busy part of the year and move in to 2018 on track. Prices remain firm to what we have been seeing as of late for feed wheat with prices for January at $325/mt delivered downs through to April. Sorghum has been fluctuating lately with the weather experienced being the major factor, Downs pricing is floating around the $255-60 level for March and for delivery in to Narrabri prices sit close to $240.
With no word passed down the Indian Chickpea grapevine as of yet, there is still some uncertainty and worry floating around the topic. We are looking to learn more day by day, but for now whilst the dust is yet to settle, growers and buyers still want a certain degree of assurance before committing to any contracts alongside a higher price of course also!! Narrabri prices have taken a drop bidding at $680/mt with Darling Downs just twenty dollars above at $700. We do advise firstly before looking to the marketing side of your peas to make sure the quality is there. If product does fall out of spec it can be costly in regards to replacement tonnages and washouts. The volatility of the market still remains for now too.
Cotton futures had a positive gain earlier in the week in which continued the strong month of November we have been reporting on. The picking season looks to still be making good progress across the main growing regions going in to December. This week with the weakening Aussie dollar and strengthened futures market, bale prices have had a healthy rise. The Australian dollar has been teetering on the $0.76 mark over the past couple of days and remains their again today. 2018 bale prices sit around the $550 mark with 2019 at $525 (At time of writing). With the forecasted rains mentioned earlier set to hit the main growing regions, with enough this will replenish the lost moisture and soil conditions that have diminished over the past few weeks.