Feb 19

Weekly Grain Traded CGX - 19 February

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

Bid prices fall at end of week - Published bids of many grain prices across Australia dropped significantly at the back end of last week.
28 buyers met grower target prices to purchase 27 grades of wheat, barley, canola, faba beans, lupins and oats in 13 port zones.
CGX and igrain enable growers to offer grain for sale - Growers delivering to warehouse can offer grain for sale on CGX. Growers with grain on-farm can offer grain for sale on igrain and determine pickup/delivery timeframes.

28 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

28 buyers purchased grain on CGX - more were searching for grain
7 in NSW
5 in VIC
9 in SA
13 in WA
123 sellers sold grain through CGX across 144 transactions - more were offering grain for sale
13 agent and/or advisory businesses sold grain on behalf of growers
27 different grades traded
6 commodities - wheat, barley, canola, faba beans, lupins, oats
13 port zones traded across NSW, VIC, SA and WA

Bids fall at end of week

Published bids of many grain prices across Australia dropped significantly at the back end of last week.

Continued talk of softening global prices and domestic users having some coverage is maintaining a patient and cautious stance by buyers.

The market has lacked significant new information for some time to spark a new price direction. Will the northern hemisphere spring bring some fresh news?

Winter wheat crops are coming out of dormancy and spring crops such as higher protein spring wheat, corn, soybeans, barley, pulses and oats are still to be planted.

The market will start to watch weather forecasts in earnest through the coming months as it will define northern hemisphere crop production.

At this stage grower offer prices have been reluctant to follow bids lower, possibly hopeful of some uncertainty to eventuate during the northern hemisphere spring.

Growers may also be trying to figure out price spreads across port zones which remain significant.

One thing is for sure, if your grain is not on OFFER at the price you want, it can't sell. Buyers need to see it to crunch their numbers and try to buy it.

The charts below show the power of growers offering their grain for sale to create demand, with grain regularly trading at better prices than published bids indicate.

28 buyers purchased 27 grades of wheat, barley, canola, faba beans, lupins and oats on CGX last week, with more buyers searching grain offered for sale. igrain is also trading ex-farm grain.

ASW1 wheat prices at GrainCorp's Mirrool site in Port Kembla zone

ASW1 wheat prices at Viterra's Tailem Bend site in Port Adelaide zone

ASW1 wheat prices in the Kwinana zone of CBH's warehouse system

The tables below provide a summary of traded prices on CGX between 12 Feb and 19 Feb.

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.