Jan 22

Weekly Grain Traded CGX - 22 January

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

Bids lifting to meet OFFER prices - There were more examples of buyers lifting bids to meet prices growers had OFFERED grain for sale last week.
35 buyers met grower target prices to purchase 50 grades of wheat, barley, canola, faba beans, lentils, lupins, peas and oats in 14 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.

35 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

35 buyers purchased grain on CGX - more were searching for grain
8 in NSW
11 in VIC
9 in SA
25 in WA
296 sellers sold grain through CGX across 402 transactions - more were offering grain for sale
17 agent and/or advisory businesses sold grain on behalf of growers
50 different grades traded
8 commodities - wheat, barley, canola, faba beans, lentils, lupins, peas, oats
14 port zones traded across NSW, VIC, SA and WA

Bids lifting to meet OFFERS

Over the last month or so a bid-offer stand-off emerged in Australian grain markets.

Buyers lowered their bid prices, and growers have generally been reluctant to follow them lower. The pull back in bids has been more pronounced in the eastern states.

The stand-off has meant less grain transacted because price expectations between growers and buyers have been someway apart.

Yet more grain needs to transact because the amount of grain to be exported and consumed domestically this year has not yet been bought from growers.

So demand has been building and at the same time growers have been more active in OFFERING their grain for sale, and in doing so showing buyers the prices where they are a willing seller.

In recent weeks this has seen buyers push their bids higher to close the gap and meet grower price expectations to purchase grain. Firstly in Western Australia, and in the last week there has been more evidence of this happening through the eastern states.

The charts below provide examples.

Across SA, NSW and VIC, grain has been trading at better values than prices indicated by published bids advertised on bid sheets, by SMS, and other proprietary online contracting tools.

By growers OFFERING their grain for sale on an INDEPENDENT exchange, it shows buyers the growers SELL PRICE and gives ALL BUYERS the opportunity to try and buy that grain.

If you don't have your grain OFFERED, how do buyers know it exists?

Make buyers jobs easier and show them your SELL PRICE. That's how you find out the real value of your grain.

You're protected by anonymity and secure settlement with Clear Grain Exchange, so you can be comfortable offering your grain at your price.

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 on CGX between 15 Dec and 22 Jan.

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.