Grain Report

Dairy Australia generates a grain report to help farmers make more informed decisions when buying grain. The grain report is updated 40 times per year and provides an independent and timely assessment of grain markets in each dairy region.

Grain prices by location

Select a location to view the grain price:

International and national summary

National background comments: report for the week ending 17 September 2021.

The next update will be on Friday 01 October 2021. Direct links to reports on each dairy region immediately follow this international and national summary for grain.

Driving Prices Up

• Statistics Canada have released their updated production estimates for wheat, barley, canola, and soybeans. Wheat production is estimated down 38% year on year to 21.7 Mmt. Soybean production for 2021 is expected to fall 7% year-on-year to 5.9 Mmt, while canola production was revised almost 2 Mmt lower to 12.8 Mmt, down 34% from last season.
• France's agricultural agency has revised its wheat production, yields and export outlooks lower following heavy rainfall across the country.
• This week’s USDA crop progress report has indicated that US corn harvest is now underway though there has been a further decline in quality, despite the market anticipating an improvement in conditions.

Driving Prices Down

• China’s Agriculture Supply and Demand Estimates report has forecast a decline in the consumption of corn for the feed industry throughout 2020/21 and 2021/22 on the back of lower usage of corn in feed and lower hog margins.
• Favourable weather conditions have assisted harvest throughout the US, with crops maturing at a good rate while rainfall throughout Argentina over the past week has benefited winter wheat crops.

Global Trade News

• Dry bulk freight rates rose this week as weather-related disruptions, strong demand, and tight vessel availability, particularly throughout Asia, pushed prices higher.
• The Turkish Grain Board (TMO) have issued a tender for 260,000 mt of feed barley for October delivery.
• Algeria's state grain importer, the Office Algerien Interprofessionnel des Cereales (OAIC), have purchased 330,000 mt of barley for October shipment in the price range of US$307-308/mt CFR.
• Philippines Import Group has purchased 56,000 tonnes of Australian feed wheat for Oct-Nov shipment.
• Saudi Arabia’s state grain importer (SAGO) purchased 382,000 tonnes of 12.5% milling wheat at an average price of US$355.68/mt CFR (cost and freight). Wheat origins are unknown; however Black Sea wheat has been increasing its market share given quality issues in much of Europe due to rain.

Local News

• The weather is beginning to warm up on the east coast which is providing ideal conditions for mice. There have been some reports of damage in the northwest of New South Wales with many in the industry concerned that numbers may explode ahead of harvest.
• The Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) Agricultural Commodities report is expecting the gross value of Australian agricultural production to hit an all-time record $73 billion in 2021/22. This is driven by strong crop production which is set to rise by 7% to $39.5 billion.
• The Bureau of Meteorology (BOM) has revised the chances of a La Niña weather event to a 50% chance this spring. A La Niña typically leads to wetter-than-average conditions for eastern Australia.

Price change in table below reflects moves since previous report (10 September 2021)

All Location Grain Prices