WA Market Wrap
By Ben Cotsford
29th August 2023
The Western Australian crop is shaping up to be a mixed bag this year, with crops in the south generally looking good but the north and east facing dry conditions. Subsoil moisture is lacking over a large area of WA, and GIWA is anticipating yields will be brought back further without additional rains in the coming weeks. Coastal parts of the Albany and Esperance zones are the polar opposite, with some growers battling waterlogging.
The WA canola crop will be significantly lower than last year’s record breaker, though at this stage still likely to be well above average thanks to increased plantings. Prices have risen in recent weeks and the new crop GM to non-GM spread has closed to $5 at the time of writing.
Wheat prices have also increased in the lead up to harvest, with new crop Geraldton zone prices showing a premium to other zones. The ongoing Ukrainian/Russian conflict and Northern Hemisphere crop size allowing for plenty of volatility. Old season prices also remain firm, and the Kwinana zone spread from APW1 to ASW1 has closed in to $20 – after being more than $60 at harvest.
The lupin harvest will be down significantly on last year, with the area planted down and the big production areas in the Kwinana and Geraldton zones suffering dry conditions.
China’s removal of tariffs on Australian barley has been a very positive development in the barley market, particularly for export-focused WA, with new crop prices rising around $30/t since the announcement. With China not having a maximum residue limit for glyphosate, we haven’t seen the same increases in glyphosate barley grade BFDEC.
The Cargill – AWB WA team will be at the Dowerin and Newdegate Field Days in the coming weeks and are looking forward to showcasing our new online platform “Customer Hub”. The Customer Hub upgrades the functionality from our old portals and is designed to save you time and simplify our services. It will also be the place to view our daily prices. Please come say hello if you are attending!
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