Australia: South Australian, Victorian and South Coast barley pool estimates up due to ‘very tight’ market
ABB Grain Ltd has reviewed its gross barley pool indicators for 2005/2006 and 2006/2007 and has increased its estimates for both feed and malting, the company released September 06.
ABB Grain’s General Manager Marketing, Nigel Officer, said that continuing uncertainty about the size and make up of the forthcoming Australian barley harvest, extremely firm domestic grain prices and a “very tight” world market, particularly for malting barley, had been the impetus for the rises.
For the 2005/2006 pools, ABB Grain has raised its No.1 malting barley gross estimate by $9/tonne, to $202/t, and raised its No.1 feed barley gross estimate by $2/t to $165/t (figures in AU$ unless stated).
In the 2006/2007 No.1 pools, malting barley gross estimates have been increased by $12/t, to $206/t, with feed being raised by $7/t, to $175/t.
“It’s likely that there will be limited volumes only of malting barley available from the forthcoming Australian harvest,” he said.
“Whatever malting barley is produced will be sold into a very tight world market, characterised by ongoing strong Chinese malting barley demand and limited export availability from ABB’s northern hemisphere competitors.
“With feed barley, we’ve seen a strengthening of values in the Black Sea and North America. Australian feed barley will be keenly sought after, not only by export customers but also by domestic users.”
Mr Officer said in Canada, a reduced barley harvest and strong demand for barley for feeding purposes should see limited feed barley exports from Canada. He said currency had remained relatively unchanged since ABB’s last review of gross pool indicators a fortnight ago.
“We are however always mindful of the impact of any currency movements on pool returns,” he said.
“We will continue to review our pool estimates on a fortnightly basis, and adjustments will continue to be made in light of any changing circumstances.”
Gross estimates for last season’s and new season’s barley are as follows:
South Australian pools 2005/2006 season
No. 1 malting (closed January 24) $202/tonne
No.1 feed (closed January 24) $165/tonne
No.2 malting (opened January 24) $184/tonne
No.2 feed (opened January 24) $152/tonne
2006/2007 season
No.1 malting $206/tonne
No.1 feed $175/tonne
Victorian and East Coast pools 2005/2006 season
Victorian No. 1 malting (closed October 31, 2005) $207/tonne
Victorian No.1 feed (closed October 31, 2005) $170/tonne
East Coast (Vic, NSW & Qld) No.2 malting (closed January 24) $202/tonne
East Coast (Vic, NSW & Qld) No.2 feed (closed January 24) $165/tonne
East Coast (Vic, NSW & Qld) No.3 malting (opened January 24) $184/tonne
East Coast (Vic, NSW & Qld) No.3 feed (opened January 24) $152/tonne
A $5/t premium also applies to Baudin and Sloop malting varieties for 2005/2006. These premiums will not apply in 2006/07.
Tilbage
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