AWB has lifted its National Pool estimates almost across the board today, capturing gains made in international markets with considerable increases in both old and new season estimates.
Estimated returns for 2002/03 milling grade wheat were increased by $10 per tonne (FOB, GST Exclusive), taking benchmark APW to $230/t, AH to $242/t and APH to $254.50/t.
General Manager AWB National Pool Sarah Scales said AWB was in a position to increase it’s Estimated Pool Returns following firm rallies in the futures and cash markets.
"AWB has been able to capitalise on the upward movement in the market, bolstering the Estimated Pool Returns being offered to Australian growers," Ms Scales said.
"We have seen strength in the entire US grain complex, with the market focused on weather concerns for the corn, soybean and spring wheat crops in the US, and potential production problems for the wheat crops in Canada and Argentina.
"As a result, in the past fortnight there have been some significant gains in both the Chicago Board of Trade and Kansas City wheat futures, and we expect continuing volatility as corn pollination and spring wheat production unfolds in the coming weeks.
"It has also been encouraging to see prices of some of the Eastern European origin wheat starting to firm, albeit from a relatively low base," Ms Scales said.
The biggest increase in new crop prices was with ASWN - the estimate increased by $14/t, to $254/t - with support from stronger US Pacific North West wheat values relative to wheat from the US Gulf.
Estimates for most milling pay grades in the 2001/02 AWB National Pool were also increased, with grades such as APW and APH up $5/t.
The next Pool Update will be Monday, 22nd July, at 5pm.