Estimated Pool Returns (EPRs) for both old and new season AWB National Pools have either remained firm or increased this week, despite a softening in international wheat markets.
Increases have been made to higher protein grades for 2002/03, with APH up $7/t (FOB, GST exclusive) to $338.50, and the recently established AEH up $4/t to $334/t.
General Manager AWB National Pool, Sarah Scales, said the increase in base rates and Golden Rewards premiums for higher protein wheat reflected the short supply and stronger market for those wheat types internationally.
"During the past fortnight we have seen continued volatility in the US wheat futures, although the market has generally receded from its recent peaks," Ms Scales said.
"With the smaller crops in the US, Canada and Australia the world supply forecasts for higher protein wheat have been reduced. AWB National Pool is reflecting that international supply and demand scenario both in the base rate movement for the higher protein pay grades - including our new AEH pay grade - as well as adjustments to the Golden Rewards protein scales for the protein wheats.
"This highlights the benefits of establishing a new grade such as AEH, which helps us meet customers requirements for higher protein wheat products, and allows growers to capitalise on premiums available for high protein wheat," Ms Scales said.
Following the significant increases in EPRs for 2002/03 during the past three months, AWB National Pool has this week adjusted its Golden Rewards active payment scales for screenings and moisture.
Premiums for screenings for all pay grades (except feed) between 0% and 5% have been increased by $0.05 per 0.1% reduction in screenings levels. Each 1% decrease in screenings content below the 5% level now attracts a premium of $3/t. Discounts for screenings above 5% remain unchanged.
Premiums for moisture for all grades (except feed) between 8% and 12.5% have been increased by $0.05 per 0.1% reduction in moisture levels. Each 1% decrease in moisture content below the 12.5% level now attracts a premium of $3/t. Discounts for moisture above 12.5% remain unchanged.
Changes to 2001/02 EPRs include a $2/t increase in APH, AH and APW, and a $3/t increase for ASWN, which is now estimated to return $285/t.
The next AWB National Pool update will be released at 5pm, Monday 28th October.