Report prepared 16 October 2020.
The latest USDA outlook forecasts higher wheat production, largely due to record-high yields and the second-largest crop on record in Russia.
Parts of northern NSW are ready to harvest barley, with favourable weather conditions over the next week. Old crop prices rose on short supply.
Source: Ag Scientia
Ongoing dry conditions in Queensland has delayed further planting of new crop sorghum. Old crop prices are slightly higher but supplies are tight.
World cotton prices increased this week. Australia reportedly may lose access to China's in-quota system for cotton imports that attracts a 1% tariff.
Canola prices remained high as Western Australia harvest commenced this week. The USDA outlook forecasts lower world oilseed supply in 2020-21.
There is speculation that India's 60 per cent tariff on Australian chickpeas may be reduced due to low supply and rising prices in India.
Source: Weekly Times
World raw sugar prices reached a seven-month high, despite a record delivery of Brazilian sugar after the October futures contract expired.
Continued high prices and restocker activity has eased cattle slaughter across the east coast. NSW slaughter volumes are 25% below 5-year trends.
Source: Thomas Elder Markets
Multiple indicators suggest the cattle herd is rebuilding. The NSW over the hook medium cow indicator at a record high, well above year-ago levels.
Higher lamb yardings in NSW have eased prices this week. Central West NSW yardings were 75% higher than year ago levels for processor lambs.
Prices rose to the highest level since July with gains across all microns and a low pass-in rate. Traders were the largest buyers in all wool grades.
Parts of the Riverina received heavy October rainfall over the weekend, with Narrandera receiving 26mm and wagga Wagga receiving 18mm overnight.
Source: Elders Weather