Weekly Grain Traded CGX - 16 October

CGX now own and operate the igrain market for grain stored on-farm

Harvest is impacting grain markets - Markets have become more sporadic as buyers monitor harvest progress and grower behaviour.
Buyers still searching for grain - 17 buyers purchased grain through CGX last week, the lowest since November last year, more were searching.
Growers can OFFER grain for sale rather than hitting cash bids - CGX and igrain enables growers to offer grain for sale at their price to ALL BUYERS.

17 buyer businesses purchased grain through Clear Grain Exchange (CGX) last week. More buyers were searching for grain offered for sale.

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

17 buyers purchased grain on CGX - more were searching for grain
50 sellers sold grain through CGX across 64 transactions - more were offering grain for sale
6 agent and/or advisory businesses sold grain on behalf of growers
13 different grades traded
3 commodities - wheat, barley, oats
9 port zones traded across QLD, NSW, VIC, SA and WA

Harvest impacting markets

Harvest is now well underway in some areas, not far away in others, and some areas received beneficial rains in the last two weeks.

The onset of harvest has seen Australian grain markets become more sporadic in recent weeks as buyers purchase what they need and then retreat to the side lines to observe how the harvest unfolds and if growers are sellers.

Will harvest price pressure eventuate?

This refers to prices often lowering during harvest as more grain becomes available, more growers try to sell, and effectively pressure prices down. It's created by growers selling into cash bids advertised by buyers as their crop comes off.

But there are two sides to every market, a "bid" and an "offer", and growers can OFFER their grain for sale at the price they want and show buyers those prices.

This is the purpose of Clear Grain Exchange (for warehoused grain) and igrain (for grain stored on farm), to provide growers an efficient and secure method to OFFER grain for sale at their price to ALL BUYERS, rather than relying on just "bids" for price discovery.

International prices of physical grain appear to be relatively stable and holding at the moment, but offshore buyers will also be watching the behaviour of Australian growers to see if prices are pushed lower. North eastern Australia should be trading above export parity given the shortage there.

Rather than selling into cash bids and potentially pushing prices lower this harvest, growers can understand what their grain is worth and OFFER it for sale to all buyers to achieve its true value.

Make sure all buyers can see your grain and try to buy it by having it on OFFER for sale on CGX or igrain, that's how you create demand for it and realise what it's worth.

For growers looking to sell 23/24 season crop, either in store now or for delivery in future months, you can OFFER that grain for sale on both CGX and igrain, simply login to your account or contact us to do so.

See what traded on CGX last week below. Wheat, lupins and faba beans traded on igrain last week on an ex-farm basis through VIC, NSW and SA.

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.