Crop expectations increasing

Australian winter crop expectations increasing

Cropping
Framers were reporting that grain storages across the central west were reaching capacity with another week of harvest remaining.

Framers were reporting that grain storages across the central west were reaching capacity with another week of harvest remaining.

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Massive winter crop yields across New South Wales, Victoria and parts of South Australia are expected to push national winter crop production above 50 million tonnes.

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Massive winter crop yields across New South Wales, Victoria and parts of South Australia are expected to push national winter crop production above 50 million tonnes.

After years of drought, better than expected yields across all states is expected to see ABARES raise its forecast for national winter crop production from the current 48mt.

If realised, it will be only the second time Australian winter crop production has topped 50mt.

Farmers have been reporting better than expected yields right from the onset of harvest in Queensland in October.

No more so than in NSW where farmers from Moree in the north, to Boree Creek in the south are reporting record large winter crop yields.

Wheat yields of 4 to 5t/ha have been commonplace across the expansive cropping regions of central west and north west NSW, including Condobolin, Tottenham, Nyngan, Trangie, Coonamble and Walgett.

Bumper crops have translated to massive grain deliveries into grain storages. GrainCorp had taken 3.7mt of grain deliveries as of November 16 with the state's harvest little over the halfway mark.

Harvest is underway in the central west and southern slopes, where farmers are reporting massive wheat, barley and canola yields. Early harvest activity in Victoria and South Australia have also revealed better than expected results.

Grain quality has been good with wheat protein levels averaging more than 13 per cent across northern NSW.

Farmers have also been happy with grain prices, with APW wheat climbing up to around $330 port in October but has since fallen back to around $300.

Exporters are reporting strong demand for Australian wheat and barley from overseas buyers. Australian wheat is expected to capture a large share of the South East Asian demand from December through to March and beyond.

Traders are also reporting sales into less traditional markets into the Middle East and Africa. As Australia's 2020 barley production forecasts swell, Saudi Arabia is emerging as a major export destination as traders look for alternatives to China.

Australia is expected to supply a large share of a recent barley tender by Saudi Arabia. The Saudi government grain buyer purchased 730,000t of barley for shipment in January and February, with Australian exporters selling all 12 shipments.

Although the tender was for optional origin barley, most or all of the barley is expected to be sourced from Australia.

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