Weekly Commodity Report

Report prepared 17 May 2019.

Wheat

$358/t (H2)

Down -2.7%

USDA forecasts increased wheat plantings in 2019-20 and favourable weather will increase global production to record levels, which lowered prices
Source: Ag Scientia

Barley

$363/t (feed)

Steady

Domestic demand for feed barley is holding prices steady with increased feedlot demand, which is expected to continue to spring
Source: Grain Central

Sorghum

$360/t

Steady

The US-China trade war has benefitted a softening sorghum market, as China indicates interest in buying sorghum from Central Queensland producers
Source: Grain Central

Cotton

$591/bale

Down -0.8%

China has been absent from buyers this week. Predictions are their interest will increase as they look for non-US options as the trade war intensifies
Source: Namoi

Oilseeds

(Canola)

$595/t

Down -0.8%

Sowing of the NSW canola crop has nearly completed with an initial estimate of 2019-20 production at 551kT, well below the 5 year average for NSW.
Source: Riverina

Pulses

(Chickpeas)

$580/t

Steady

Western Australian farmers expect lupin hectares down 5-10% overall from last year with low soil moisture and a drier than average winter forecast
Source: Farm Online

Sugar

$374/t

Up 1.3%

Prices are at the bottom of the ethanol parity range; low prices required to encourage producers to switch crops or reduce plantation for next season
Source: QSL

Cattle

461c/kg (EYCI cwt)

Down -7.9%

Yardings were relatively steady this week, with prices falling due to weak demand on the back of little rain and little rain in the forecast
Source: Mecardo

Cows

177c/kg (lwt)

Down -5.7%

Prices continued to fall this week with low processor and live exporter competition. Restocker and feedlots showed good support for light cows
Source: The Land

Lamb

774c/kg (NTLI cwt)

Up 2.9%

Prices strengthened this week as restockers took to market anticipating grass growth while others are holding onto lambs waiting for winter premiums
Source: Mecardo

Wool

2,200c/kg (Mel 21mc)

Down -2.2%

Prices fell as China lifted the ban on wool imports from South Africa, and also due to the US imposing additional import duties on Chinese goods
Source: AWI

Weather

BOM predict a positive phase Indian Ocean Dipole will develop this winter causing below-average rainfall for western NSW, persisting until October
Source: Bureau Of Meteorology