The recent drop in the Australian dollar to below US 60 cents has sparked renewed export demand and led consumers to increase their bids by up to $5-$10 per tonne in the southern wheat and barley markets to remain competitive. In the northern region, sorghum prices have risen by $10 per tonne due to the weaker dollar and increased interest from China amidst ongoing tariff disputes with the United States.

Market movements in the northern wheat and barley sectors have been varied, as sorghum has dominated export capacity for the upcoming months in Queensland. Dry conditions persist in much of South Australia and western Victoria, with mixed conditions in southern New South Wales, prompting the commencement of dry sowing for early dual-purpose or grazing crops.

Indicative prices in Australian dollars per tonne are shown in Table 1, showcasing the current market trends for various grains in different regions.

Sorghum remains a strong commodity in the north, with growers encouraged to sell at current values supported by robust demand from China and the favorable exchange rate. The market for sorghum in Queensland and New South Wales is active, with some crop damage reported due to recent rains. Growers are diversifying their crops, with oats, canola, and early barley being planted alongside sorghum.

While wheat prices have remained steady, there is anticipation of increased demand once the sorghum export season concludes. Barley prices are showing signs of upward movement as consumers and exporters seek to secure supplies.

In the south, sales have slowed as growers focus on dry sowing winter crops in anticipation of the upcoming planting season. The weakened Australian dollar has contributed to price increases in the southern wheat and barley markets, with trade interest driving the market dynamics.

Dry conditions in southern New South Wales, western Victoria, and South Australia have prompted some growers to start planting ahead of the expected rainfall. The combination of currency fluctuations and planting activities has limited the volume of grain available for sale, with growers holding back in hopes of further price increases.

In South Australia’s Upper South East region, feed shortages have led to increased demand for hay, barley, and other feed supplements. Dry sowing has commenced, with growers adapting to the challenging conditions and preparing for warmer than usual temperatures.

Overall, the grain market in Australia is experiencing shifts driven by currency fluctuations, export demand, and planting activities. Growers are navigating these changes as they prepare for the upcoming growing season and adjust their strategies to optimize their returns. Stay informed with the latest news and updates from Grain Central by subscribing to their free newsletter.