Global crop on track to achieve forecast steady growth
The global crop forecast remains steady and is consistent with the last market report, with all major origins on track to produce a total crop that will grow by around 10% this year.
The initial Australian forecast has been confirmed based on intake received by the end of June at 44,500 tonnes (3.5% moisture), up 3.5% over 2017. Weather conditions during harvest have been significantly more favourable than the prior year, overall quality is good and kernel recoveries are up by as much as 2%.
Stable kernel sales continued in the 12 months to June 2018 at 9,711 tonnes. Sales for the June quarter grew considerably by 11% compared with the June quarter last year. Kernel sales to the domestic market were strong, up 16% (more than 500 tonnes), and sales to all other markets held steady.
As expected, in-shell sales declined as availability from the South African crop returned to levels last seen in 2015 and 2016.
Overall, market signals indicate continued strong demand for the remainder of the year.