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Grain Report Thursday - 02nd March



Our goal is to help growers and their agents determine the selling price for their grain by providing relevant price discovery each day. Check out the moves in overnight international markets and yesterday's actual traded prices across Australia. There's also market commentary giving context and comparisons to prices of international physical markets. If you need to change your offer price, simply edit it before market open.


What price do you want for your grain?

Chart including Wheat CBOT prices, Wheat Black Sea prices, Canola ICE prices and Canola MATIF prices

Grain trade prices for Australia Grain (wheat, barley, Sorghum, Lupins, Canola, Faba Beans, Oats, Chickpeas and lentils)

Look Out!

  • Finally, some green dials on the US Futures markets last night.

  • Time to go long chicks.

  • Yep, China is running short of chicks due to bird flu. Chick prices have gone up 300% since the start of the year.

  • The US has culled 58,000 million chicks over the last year and now Argentina has found a case and halted exports.

  • It will be interesting to see if this impacts global feed demand as reduced chooks equals reducing feed demand.


  • Russia says it will only renew the grain export corridor deal unless its own agricultural exports are taken into consideration. This involves removing restrictions on payments, logistics and insurance which is impacting on Russia’s ability to efficiently export its own grains and fertilizers.

  • The other way to fix this issue is to cease the invasion.

  • The “mood of the room” is the corridor deal will be decided by what China wants, and China probably doesn’t want global prices to increase, causing more food inflation. They already have a chick problem.

  • The Corridor deal expires on the 18th of March.

  • An extension of the deal would be seen as bearish to world prices, irrespective of any other global supply and demand issues.


  • Thailand also bought 30,000mt of Aussie Feed wheat to feed their chicks. They paid USD $336 C&F (cost & freight), which is USD $1 less than the price they paid 2 weeks ago, however with AUD lower, the FIS (free in store) and TRACK value is AUD $10 higher.

  • The price works back to $420 TRACK East Coast for Feed wheat and $440 FIS Kwinana.

  • Current TRACK Market price for FEED WHEAT Geelong / Melbourne is AUD $375 and AUD $390 Port Kembla.

  • If this business was done out of Victoria, there would still be an export margin of $45 per tonne.

  • However, it will only be done ex Vic or Kembla if there is no capacity from WA, as they could ship ASW against this feed wheat sale and make an export margin of $80 per tonne.


  • So, in 2 weeks, the sky has fallen on the US Wheat futures, with Kansas falling USD $21 per tonne, and Russian excess supply is driving down world prices, yet our buyers are still paying the same? That’s interesting.

  • As mentioned yesterday, values over the month of February rose on the East Coast and SA, with market values up $10 - $20 per tonne on the Track Markets.

  • Basis (ASX vs CME) has firmed from $21 per tonne since the 1st of Feb and is almost back at parity.


Most importantly we're always here to help!

Please give us a call or email if you have any questions.


Call 1800 000 410 or Email support@cgx.com.au

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