Weekly Grain Traded CGX - 13 November
CGX now own and operate the igrain market for grain stored on-farm
Growers offering grain at a price - Growers appear more comfortable offering grain for sale at a price as harvest progresses rather than chasing bids.
Strong buyer appetite for Australian grain - Australian grain remains competitive into international markets from southern states.
CGX and igrain enable growers to offer grain for sale - Growers delivering to warehouse can offer grain for sale on CGX that has been delivered or will be delivered in future months. Growers storing grain on-farm can offer grain for sale on igrain and determine pickup/delivery timeframes.
When your grain is offered for sale on CGX all buyers can see it and try to purchase it.
Grain market statistics for last week
28 buyers purchased grain on CGX - more were searching for grain
163 sellers sold grain through CGX across 217 transactions - more were offering grain for sale
8 agent and/or advisory businesses sold grain on behalf of growers
21 different grades traded
6 commodities - wheat, barley, canola, lupins, oats
17 port zones traded across QLD, NSW, VIC, SA and WA
Growers offering grain at a price
28 buyers bought grain offered for sale on Clear Grain Exchange last week, with more searching as buyers maintain strong interest in Australian grains.
Growers appear more comfortable offering their grain for sale at a price as the harvest progresses rather than chasing bids. Many growers that are harvesting, or close to harvesting, are offering grain at a price and nominating a future delivery period that suits them.
For example some growers are offering grain for Nov/Dec delivery so they can easily show the market their sell price and get some price protection in place, whilst continuing to focus on the harvest knowing they can transfer the most suitable loads when they have more grain in the bin and more time on their hands!
Australian grain remains competitive into international markets out of the southern states and export pipelines are comprehensively booked which means there is strong buyer appetite for grain.
Food grades such as higher protein milling wheats and malt barley are trading at premiums to the lower grades which is typical for this time of year as millers and maltsters engage to ensure they have the right quality for their assets.
Prices between port zones for similar grades remain wide in some cases. Northeastern Australia will continue to trade at higher prices given the grain deficit there and the need to draw grain in. However some of the export orientated states also have large price variances which may be a reflection of how grain is being sold.
If growers sell into advertised cash bids it will weigh on prices. Growers have a say in the price of their grain, they can offer it for sale at a price to the market.
By the way, premiums for food grades and discounts for lower grades, are typically widest sometime between harvest and early in the new year. Read Nathan Cattle's commentary in your local Australian Community Media newspaper or FarmOnline for more thoughts on these market dynamics.
Grain on farm traded on igrain last week with wheat, barley, lupins, faba beans and peas selling on an ex-farm basis across NSW and Victoria.
See what traded on CGX last week below or login to your CGX or igrain accounts to see more price information.
The tables below provide a summary of traded prices last week.
Note: GTA location differentials are used to convert prices to a port equivalent price, actual freight rates can differ particularly in the eastern states. You can offer any grade for sale to create demand.
The charts below provide a summary of grain traded last week
CGX now own and operate the igrain market for grain stored on-farm
If you have any queries, 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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