Breadth of trading remains encouraging for growers
Buyers remained interested in buying grain last week, however the drop in CBOT wheat futures in A$/t was inhibiting their ability to pay up to grower offer prices.
See chart below provided by independent analyst Profarmer - note the grey area plots the value of CBOT wheat futures in A$/t.
Last weeks trade activity on Clear Grain Exchange (CGX) was lower in terms of volumes versus the previous week however the breadth of trading remained encouraging for growers.
For example the number of buyers seeking grain and the variety of grades, commodities, locations trading last week remained wide.
Trade stats for last week:
- 20 buyers bought through CGX - more searching
- 19 grades traded
- 5 commodities traded - wheat, barley, canola, oats, sorghum
- 10 port zones traded around Australia
- 2 seasons traded - 17/18 and 16/17
There were pockets of very strong values trading through last week including oats in the west trading up to $250/t FIS Kwinana, canola trading strongly in Port Kembla and Melbourne, sorghum through Queensland and grades of wheat and barley also trading strongly versus the best public bid on the day
The chart below plots the best public price as collected by Profarmer versus actual trades on CGX last week for canola at Calleen in Port Kembla NSW as an example.
Old season (16/17) grain continued to trade last week often attracting current season (17/18) values. For those holding old season grain CGX can be an effective way to sell that grain.
Hence have your offer in the market as sometimes you don't know what you don't know! There may be a buyer out there looking for your grade at your location and ready to buy it at your price if they know it is there.
Below is a summary of trades on CGX last week, please follow the link to view trades in more detail. Note that if you can't find a trade or bid for your grain at your location, don't be disheartened - still offer your grain at your price as the offer draws out the bid and creates the trade opportunity!