AWB 2008/09 Estimated Pool Return (EPR) has been left unchanged.
The EPR range for APW wheat is $350 - $370 (FOB, GST exclusive) and the Western Australian noodle grade wheat is now at $355 - $375 (FOB, GST exclusive).
AWB Australia Commodity Division General Manager, Mitch Morison, said the US wheat futures had dropped significantly over the last fortnight and the Australian dollar continues to depreciate.
“While the decline in the value of the Australian dollar remains supportive of Australian commodity prices, the continued weakening of US futures has resulted in no change to the EPRs,” Mr Morison said.
“International feed wheat values, especially in the EU, continue to weaken as approximately 80 per cent of the Ukraine crop has been estimated as feed wheat.
“The Russia harvest continues to progress well, while Black Sea milling wheat prices remain firm and continue to set the international benchmark for price.
“Winter wheat harvest is nearing completion in the US, with the potential for the USDA to further increase its current production estimates.
“Spring wheat crops in the US have experienced mixed conditions of late, with an average crop expected in the US, however, conditions in Canada have improved leading to increased production potential for the Canadian spring wheat crop.”
Growers are again reminded that the 2008/09 EPR is currently not supported by a hedging program and will continue to fluctuate by price movements in international wheat markets.
AWB will continue to provide regular updates on the 2008/09 season pool estimate going forward.
Media Inquiries: Peter McBride on 03 9209 2174 or 0417 662 451
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