| ||Pool improves with market prospects|| ||
The price outlook for Australia’s wheat producers improved further today with a substantial increase in AWB (International) Limited’s National Pool return estimates for 2001/2002.
Major milling wheat pool estimates have increased $8 per tonne, and durum wheat estimates are up $5 per tonne. The benchmark APW varietal pool estimate now stands at $238 per tonne.
General Manager of AWB’s National Pools Sarah Scales said the wheat market had rebounded from the lows associated with the US winter wheat harvest, boosted by recent government reports which showed grain plantings in the US were lower than expected.
“There will be lower exportable surpluses in major exporting countries this year, and that is being reflected in futures markets and basis levels, which have rebounded and stabilised in recent weeks,” Ms Scales said.
“Australia’s crop profile this season is expected to enhance the premiums we can achieve for Australian wheat, and combined with the support provided by the low Australian dollar, the National Pool return outlook continues to be favourable.”
In addition to the base grade moves, protein premium estimates under AWB’s Golden Rewards program for high protein Prime Hard wheat have increased. The protein payments for Prime Hard have increased by 30 cents per 0.1% of protein between 13 and 14%, and by 20 cents per 0.1 between 14 and 16 per cent protein.
In the AH grade protein payments will decrease by 30 cents per 0.1 per cent of protein in the 11.5 to 14 per cent range.
The 2000/2001 pool return estimates remain unchanged.
AWB (International) Limited’s pool estimates are released fortnightly. The next update will be released on Monday 23rd July 2001 at 5pm EST.
Pool update tables