A 23,000-tonne cargo of South Australian barley is being discharged into trucks on a Brisbane wharf this week and trade sources say the grain will be absorbed by a malthouse on the Brisbane River, and feedlots on the Darling Downs west of the port city.
Major barley importer Saudi Arabia is weighing up using more corn and less barley. Meanwhile Gulf States buyers will continue to be important markets for Australian barley and North Asia buyers including China will be key.
Traders and end-users are waiting for wheat’s premium over sorghum to drop before extending near-term coverage as prospects for a summer-crop improve and quality prospects for the point-of-harvest winter crop deteriorate with every rain event.
Saudi Arabia has bought 540,000 tonnes of barley this week in its government’s seventh tender for imports in 2017 to levels which show a price rise of almost 30 per cent since mid-year.
Strong domestic premiums will see NSW and Queensland cereals shipments slashed in 2017/18. Amid high prices, growers would remain cautious about selling before they see their crops safe in the bin.
The USDA’s September World Agricultural Supply and Demand Estimates have given support to wheat prices, with a 1.7-million-tonne (Mt) production increase in 2017/18 being seen as insufficient to offset a 2.7Mt decrease in beginning stocks.
Domestic feed-sector demand for wheat and barley now growing in Victoria and southern NSW has strengthened in the past week as warm days, a lack of rain and yet more frosts batter prospects for struggling crops in southern Queensland and central and northern NSW.
Awards presented at the Australian Barley Technical Symposium this week in Tasmania recognise excellence in research.
Dry weather saw Canadian farmers cut 2017 yield and production estimates of major export crops canola, wheat and barley in the Statistics Canada (Statscan) crop report released on August 31.
Tasmania will host the world’s barley industry next week at the Australian Barley Technical Symposium (ABTS) where barley’s high-value human use will be the focus.