AWB today increased its 2008/09 Wheat Pool estimates, lifting the benchmark APW grade $14 per tonne in the Western Pool and $17 per tonne in the Eastern Pool, with a range of adjustments to estimates for other grades. Durum wheat is the exception to this statement, with the market declining, and accordingly AWB has closed its durum pools in all delivery zones.
AWB General Manager Australian Commodities Stuart Richardson said the futures market for milling wheat had rallied substantially since the last pool update. Supporting this was that the exchange rate for the Australian dollar was slightly lower than at the time of the last pool update.
“Our estimates for milling wheat grades reflect the increase in current global milling wheat values,” Mr Richardson said.
“AWB continues to make physical sales to both the domestic and export markets. We have many existing international wheat customers looking to secure Australian wheat from AWB, so our shipping program is becoming well established.
“In contrast to milling wheats, the durum market has declined substantially and we have closed our pools to preserve value for those growers who have already committed their durum to the pools.
“Australian durum supplies are tight due to the poor finish in some durum producing areas. Prior to the recent decline, the domestic durum market rallied above international prices supported by this tight local supply and further buoyed by traders attempting to purchase durum to fulfil their commitments.
“Over the last few weeks the durum price has fallen as traders appear to have either paid up to purchase durum to satisfy their commitments, or washed out against the now cheaper Canadian durum which has been sold more aggressively into the international market to reduce Canada’s surplus,” Mr Richardson said.
AWB reminds growers that any of AWB’s pools can close at any time. Growers can secure access to AWB’s pools by contracting into them. This can be done through a local AWB Grain Marketer, or through AWB’s Grower Services Centre.
For grower inquiries please contact your local Grain Marketer, or AWB’s Grower Services Centre on 1800 054 433
Media Inquiries: Ian Desborough on 08 9209 2335 or 0418 853 881
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EASTERN POOL - Estimated Pool Return 2008/09 AWB Pool
($/t FOB, GST exclusive): |
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Pool Pay Grade Base Rate |
Estimated Pool Return |
Change |
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APH2 (13% protein) |
$369 |
Up $17 |
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AH1 (13% protein) |
$364 |
Up $17 |
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AH2 (11.5% protein) |
$354 |
Up $17 |
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AUH2 (Flat protein) |
$337 |
Up $15 |
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APW1 (10.5% protein) |
$344 |
Up $17 |
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ASW1 (Flat protein) |
$329 |
Up $22 |
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AGP1 (Flat protein) |
$319 |
Up $17 |
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AUW1 (Flat protein) |
$294 |
Up $17 |
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HPS1 (Flat protein) |
$314 |
Up $12 |
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AH9 (Flat protein) |
$269 |
Up $17 |
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FED1 (Flat protein) |
$254 |
Up $7 |
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DR1 (Flat protein) |
$510 |
Down $25 |
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DR2 (Flat protein) |
$468 |
Down $37 |
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DR3 (Flat protein) |
$413 |
Down $42 |
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WESTERN POOL - Estimated Pool Return 2008/09 AWB Pool
($/t FOB, GST exclusive): |
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|
Pool Pay Grade Base Rate |
Estimated Pool Return |
Change |
|
|
|
|
AH1 (13% protein) |
$358 |
Up $14 |
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AH2 (11.5% protein) |
$348 |
Up $14 |
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AUH2 (Flat protein) |
$333 |
Up $14 |
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APW2 (10% protein) |
$338 |
Up $14 |
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ANW1 (Flat protein) |
$337 |
Up $14 |
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ANW2 (Flat protein) |
$318 |
Up $14 |
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APWT (10% protein) |
$338 |
Up $14 |
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ASW1 (Flat protein) |
$323 |
Up $19 |
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AGP1 (Flat protein) |
$313 |
Up $14 |
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AUW1 (Flat protein) |
$288 |
Up $14 |
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SFT1 (Flat protein) |
$358 |
Up $24 |
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FED1 (Flat protein) |
$248 |
Up $14 |
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DR1 (Flat protein) |
$480 |
Unchanged $0 |
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DR2 (Flat protein) |
$450 |
Unchanged $0 |
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DR3 (Flat protein) |
$400 |
Unchanged $0 |
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WESTERN POOL - Estimated Number Two Pool Return 2008/09 AWB Pool
($/t FOB, GST exclusive): |
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Pool Pay Grade Base Rate |
Estimated Pool Return |
Change |
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ANW1 (Flat protein) |
$317 |
Up $14 |
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ANW2 (Flat protein) |
$302 |
Up $14 |
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