Reid Seaby, WA Regional Manager
1.5 minute read
There was a little bit of rain around last Thursday and Friday but the falls were limited to the west and southern parts of the state. Fortunately, these are the areas that will benefit the greatest from rain at this stage of the season as most inland and northern cropping regions have begun to turn. Having said this, rain will definitely assist all crops and is certainly in preference to warm and dry weather.
The warm days haven’t been growers’ only concern with the temperature dropping below zero at a number of places over the weekend. The frosts weren’t as severe as those experienced about a month or so ago and are unlikely to have a further impact on yields. Although the frosts aren’t likely to impact production, the dryness is and hence why we have decreased our internal forecasts this week. Agfarm are now expecting WA wheat production to decline to around 7.2MMT, barley to be approximately 3.5MMT and our canola estimates have dipped just below 1MMT.
Markets took a breather this week, but grain prices continue to be well supported by the declining crop size and lack of grower selling. APW1 and H2 were unchanged, the former remaining at $330/MT FIS in Kwinana. Barley bids fell but only in the order of $5/MT to $290/MT as grower liquidity in other states starts to pick up slightly. Canola did however continue its charge moving $6/MT higher to $638/MT FIS in the Kwinana port zone.
Pictured: crops at Katanning are progressing well and a final rain should enable them to meet their potential
Prices as at 26th September 2019
* View of current market pricing. Does not represent current Agfarm bids.