Australia: Barley crop development remains quite positive

Australia�s barley crop development remains quite positive across Australia, with the lone area of concern being South Australia and western Victoria, which have missed most of recent rains, RMI Analytics said in its latest report.

Crop�24 forecast is steady, at 12.0 mln tonnes, as the big rains in Western Australia provided relief to dryness concerns, and the New South Wales crop remains very good. There is light rain forecast for South Australia but only 5-15mm, requiring close attention as the region remains seriously dry. However, in those areas where rain has been received, and now with temperatures rising, the crop development is very positive.

Prices are following the global trend downward, aided by farmers showing more willingness to sell as the crop situation has improved considerably. Domestic feed prices are down AUD10-12/tonne, as old crop physical stocks are tight, and cattle feeders are buying new crop in response. Export barley (China) pace remains strong but mostly execution and not as much new sales.