Central Queensland crops are bouncing out of the ground after excellent general rain in June.
Cropping conditions through Central Queensland were dire prior to June. Rainfall had been limited to patchy storm activity which had favoured the northern regions. Farmers were beginning to think they were in for a repeat of the last two seasons when limited rain fell through the winter months forcing crops to survive on stored soil moisture and the occasion storm.
Many farmers had already planted chickpeas dry while others were holding out for June rain.
Crops have been quick to respond to the rain with conditions now looking the best for July for the last two seasons. Farmers are anxious to see more rain to build moisture reserves and build on the good start.
Cropping conditions remain patchy in the southern areas of the CQ with areas around Springsure and Rolleston drier than desired.
Beneficial rain fell in Southern Queensland last week where farmers were looking for follow-up to consolidate on the June falls. Most areas received 15mm to 25mm for the week, with some areas recording as much as 30mm. Falls were lighter in the west with Roma, Surat and St George only receiving 10mm to 15mm for the week.
Forecasts are turning more favourable, with more rain scheduled later this week, with more moisture from tropical Queensland pushing south as the El Nino influence continues to retreat.
Local grain prices fell last week as domestic markets played catch-up with recent sharp declines in world values. Darling Downs stockfeed wheat values tumbled $16 to $252 delivered, which is the lowest level in three months. Sorghum and barley were also softer falling by $6 and $8 a tonne respectively.
Declines in the Southern Queensland markets were reflected across the country and traders respond to the largely favourable growing conditions and a global market that is awash with wheat.
Benchmark US wheat futures posted a modest bounce last week but only after reaching 10 year lows.
This had no impact on Black Sea values where Russian wheat prices tumbled to their lowest level since 2010 last week as exporters prepare for a potential record large harvest.
The USDA will release its July world supply and demand estimates later this week where they are expected to see the raise world wheat supplies even more. They are expected to significantly raise estimates of the United States crop following larger than expected plantings and record large yields through much of the hard red winter wheat areas.
While cereal and feed grain markets drifted lower last week, pulses are holding on. Old crop chickpeas into the Darling Downs and Brisbane packers are still achieving $1300 a tonne, reflecting the tightness of supplies.
New crop prices into Central Queensland ports and Brisbane are holding at $975 to $990 a tonne for an October delivery. As was seen last year, exporters will be endeavouring to ship Australian chickpeas into the sub-continent markets, to take advantage of tight supplies, before the local crops are harvested.