Barley Price

[malleefarmer]

Just sold my first parcel of feed barley straight of combine for A$270 cash on farm nov delivery with $2 carry per month harvest will start here about nov 2 or 3
cheers Guys pencil sub 10million tonnes as well for aust even sub 9

[NeilS]

Mallee

I have come to notice that you are well ahead of the official reports on Australia's wheat situation, so I take your word that production will likely be sub 10 MT as being a solid heads up. Thanks for your input, and I hope all comes out well with you.

[malleefarmer]

niel was 37 to 39 across alot of aust with some crops in later districts not even headed yet plus another dose next week not quite as bad though
barley has risen to 285 on farm now

[NeilS]

Mallee

Your A$285 per tonne for barley equates to $243 in Canadian dollars.

If I wanted to take advantage of your local market prices, I would have no choice but to do so through the Canadian Wheat Board. They provide a pool return outlook (PRO), which is their best estimate of what the pool account will pay for the barley, basis the Port of Vancouver. Currently, this PRO has barley at C$142 per tonne.

If I were to deliver barley to the board through one of the local grain companies, I would recieve an initial payment of C$74, less a deduction of C$69 per tonne for freight and handling, for a net initial payment of C$5 per tonne.

If the PRO is accurate, I can then expect a final additional payment of C$68 per tonne sometime around December of 2007. The total return to me would be C$73 per tonne.

That contrasts with your local price of C$243. Pathetic, isn't it?

[Riley]

Mallee....In many parts of the world barley is priced not in bushels but in hundred weights. I would be interested in knowing if the prices you are quoting are per bu or cwt. If they are in bushels...they are some very impressive prices indeed. Thanks.

[malleefarmer]

Riley prices quoted are in metric tonnes ie 1000 kg