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 2 July 2021.

The next update will be on Friday 9 July 2021. Direct links to reports on each dairy region immediately follow this international and national summary for grain.

Driving Prices Up

• The USDA crop progress report suggests the condition of the US spring wheat crop continues to decline while the corn and soybean crops remained steady. Winter wheat harvest continues to progress well though yields remain well below average.
• The USDA’s quarterly update on crop planting has come in well below market expectations for the total planted area of both soybean and corn crops with ending stocks also falling.
• Frost has been forecast over the next few days throughout Brazils major corn producing regions. This is leading to growing concern about potential crop losses with much of the corn crop now in key development stages following late plantings.

Driving Prices Down

• China’s soymeal stocks increased by 210,000 mt to 1.17 million over the past week. Stocks are now at their highest level since late 2020 following slow purchasing pace from feed groups.
• The US Supreme Court ruled that small oil refineries could extend exemptions from increasing biofuel use in their products even if their exemption had lapsed. This news prompted a selloff in CBOT corn and soybeans and weighed on the wheat market.

Global Trade News

• Russia's agriculture ministry has again increased the export duty on wheat and corn, though barley remains unmoved for the June 30-July 6 period.
• Argentina is expected to export 3.5 million mt of barley in the 2021/22 season, a 20.7% increase compared to the 2.9 million mt exported in the previous season. Argentine exporters have also been increasing barley shipments to the Chinese market.
• Bangladesh’s government has confirmed plans to import 500,000 mt of Russian wheat via a government-to-government initiative. 200,000 mt of wheat will be purchased through the direct purchase method with 300,000 mt bought through open tender.
• Tunisia’s major grain importer, the Office des Cereales (ODC) purchased 100,000 mt of wheat at an average US$281.46/mt and 100,000 mt of barley at US$270.97/mt for July-August shipment.
• Taiwan’s feed-making association MFIG has bought 55,000 mt of South African corn at US$307.99/mt, this is a 233-cent premium over the CBOT December corn price.

Local News

• From the 1st of July, the NSW government will remove its ban on genetically modified (GM) crops with all states across Australia except for Tasmania now allowing for GM crops to be grown. Advocates of GM crops expect this will lead to better crop yields.
• The Bureau of Meteorology has released their seasonal climate outlook with rainfall for July to September to be above average for most of Australia providing strong grain growing conditions for farmers.
• Rainfall across NSW is causing wet paddocks and waterlogging in parts of the state’s farming regions. This is reportedly negatively impacting crop development and stopping growers from accessing their paddocks for vital spraying and late sowing.

Price change in table below reflects moves since previous report (25 June 2021)

All Location Grain Prices