AWB today announced the launch of its 2012/13 Western Australian Lupin Pool with an Estimated Pool Return of $355 a tonne (FOB, excl GST)
AWB Mr Richard Williams: “Following the success of last year lupin pool in the Geraldton port zone, the 2012/13 Western Australian Lupin Pool will be available to all Western Australian lupin farmers this year.”
“Australian lupin prices are heavily influenced by the international market for soybean meal, and current soybean meal prices have come under pressure recently as soybean yields in the United States are coming out better than the trade expected in August at the height of the drought in the USA.,” Mr Williams said.
“Export prices for lupins are likely to come under further pressure in the second quarter of the New Year as current forecasts are for a record high production in Argentina and Brazil in 2013, bouncing back strongly after a drought reduced crop in 2012. We therefore encourage lupin growers to make their marketing decisions early to allow the pool to capture value.
“However, the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) forecasts a WA lupin crop of 295,000 tonnes for 2012/13, down 58 per cent from the previous year, and domestic demand will provide some support for lupin prices going forward.
“This season we intend to build on the excellent relationship we have established with Irwin Valley Milling and its members and focus on demand for lupins in both the domestic and international feed markets as customers look for differing feed protein sources.
“We will continue to drive value and create new markets and leverage the international footprint and expertise of Cargill’s global operations,” Mr Williams said.
Irwin Valley Milling continues to focus on value adding by targeting and developing lupins applications in the food sector. It is building demand for lupin flour, beverage and isolates in the domestic commercial food industry and has expanded its domestic customers considerably over the past 12 months. Petfood and aquaculture markets also show some promise.
The company is also looking to expand its international customer base and has been working closely with a range of potential customers in India, New Zealand, the South Pacific and North America who are exploring possible lupin flour opportunities.
“We will continue to look to work with Irwin Valley Milling as they develop and build human food usage of lupin flour and together focus long term on lupin farming sustainability,” Mr Williams said.
WA farmers wishing to learn more about the WA lupin pool should contact their local WA AWB representative or ring the Grower Services Centre on 1800 4GRAIN (1800 447 246).
Media contact: Peter McBride 03 9268 7362 or 0417 662 451