Winter crop harvesting across Queensland and northern NSW is drawing to a close with stormy weather slowing late progress.
GrainCorp said harvest activity across Queensland was mostly complete with some deliveries still trickling in around the Goondiwindi region. In its weekly harvest update, GrainCorp said it received 9000 tonnes into its Queensland network in the week to November 13, lifting the total harvest intake above 400,000 tonnes.
Activity in northern NSW has also slowed into the key sites around Moree, Narrabri and Burren Junction. NSW weekly harvest receivals into GrainCorp were steady at around 500,000 tonnes as harvest picks up in the central west and southern half of the state. Rainfall in the later part of the week slowed harvest activity around the Liverpool Plains and parts of the central west, but deliveries picked up again over the weekend, GrainCorp said.
Grain quality remains good although wheat protein levels continue to come in lower than expected. There has been limited high protein wheat in NSW which is keeping the premiums for APH and H2 elevated. Domestic flour millers in central west NSW are currently paying up to $100 a tonne premium for APH2 above ASW.
Harvest deliveries are building in Victoria, with GrainCorp reporting about 312,000 tonnes of harvest receivals in the past week. This lifted the season intake to 434,000 tonnes.
East coast grain markets were variable last week. Northern bids were generally softer where feed grain buyers are comfortably covered for nearby needs. Contrastingly, southern markets were steady to firmer as exporters stepped up efforts to buy harvest tonnes.
Northern markets remain focused on the southern Queensland feed grain needs and milling wheat demand in NSW. Southern markets remain export focused where traders have sold significant volumes of wheat and barley into China for shipment in the coming months.
Farmer selling in the south remains reserved and generally limited to managing harvest logistics, with little interest in committing large volumes.
The United States Department of Agriculture cut world wheat production by 1.4 million tonnes to 782 million tonnes last week in its monthly world supply and demand estimates report.
This included reductions in Argentina and India. Russian wheat production was raised by 5 million tonnes to 90 million tonnes, bringing the USDA into line with most forecasts. USDA left its forecast for Australia's wheat crop unchanged at 24.5 million tonnes.
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