The second half of the year has now kicked off with July, and Mother Nature has sure let us know that winter is well and truly upon us with a very fresh frosty start on the weekend just been. Northern New South Wales (NNSW) was lucky enough to see some rain last week though it was almost gone before it arrived for some areas. Narrabri, Moree and towards the east saw a healthy 30-35mm around the towns last week, where the volume quickly deteriorated the further west you went with Rowena halving the amount of what the strip of the Newell Highway received. It’s nothing too tremendous but it is a start to what will be the season ahead. The days are bringing high teens but the nights are dropping to only a couple of degrees above freezing.
The weather abroad has driven the export demand as there is not much faith in Canada and the US seeing any positive wether events in the near future. We can say the same thing domestically as there has been some moisture spread around, though here hasn’t been enough to impact the market heavily. Canada had its national day on Monday which was then followed by the US holiday that is Independence Day or the 4th of July celebrations which has especially come round quickly this year. This meant that numerous futures exchanges were shut and closed for the days trading implying that there is a smaller amount to report than normal.
As the market has had an exciting start to the month across the board, the opportunity for growers to offer a price that is a little more expensive than bids is not out of the question. With rising prices, bids seem to be there as a bench mark, but an offer of that little more is definitely not going to be ignored or unnoticed. Where growers stand at the moment is being able to offer the increased price but also have the choice to play the wait and watch game, which is showing very beneficial for some players.
Feed Wheat for January 2018 has become extremely attractive by jumping $20 since last week as dry weather continues to drive demand at $320 delivered Darling Downs. For bids in this current time, you are looking again at a nice increased price of $310. F1 feed Barley at a positive of $290 with Sorghum bids delivered Downs are sturdier at $280/mt for August 2017. Chickpeas continue their strength holding at the continuous levels for the past fortnight at $920/mt delivered Narrabri, or $965 Darling Downs for July delivery. 2017/18 chickpea bids haven’t had much movement and continue their sheepish prices at $800 delivered Oct/Nov Narrabri and $850 Darling Downs for September and early October delivery. Faba beans have had some more energy with Ex-Farm parcels being quite prevalent with the recent rise in price. Values are at $210-15 Ex-Farm around the Narrabri/Moree area and $220 Downs.
2018 multi grade APW NTP Newcastle just keeps outdoing itself week in and week out with an appealing spike of roughly $20 sitting at $310-15 and Gladstone and Mackay sitting at $292 and Brisbane $320. Brisbane, Gladstone and Mackay NTP for Chickpeas are at $920 followed by Newcastle at $850 for September/October delivery. Sorghum prices for Brisbane and Newcastle NTP are strong at the mid $280’s.
Cotton continues to be not so much at the forefront of the picture, though the USDA did also minimise the cotton planting forecast which has only raised some eyebrows at most. Prices are not fluctuating much and have been a bit static as of late you could say. It is $525/bale for current crop, with new crop for the 2018 season at a price of $490. The Australian dollar’s decline is really the only one across the currencies as competitiveness continues to rise. The AUD is trading at just above $0.76 today.