AWB has today increased its Estimated Pool Returns for the 2008/09 Western Pool by $5 a tonne for types other than durum grades, but it has held its EPR for the AWB Eastern Pool unchanged, except for durum 2.
The EPR for APW1 in the Eastern Pool remains at $326 a tonne (FOB, GST exclusive) and the durum grade DR1 remains at $440/t.
The EPR for APW2 in the Western Pool increased by $5/t and is now $323/t and the noodle grade EPR is similarly up $5 to $323/t.
AWB Australia commodity division general manager, Mitch Morison, said wheat prices in both the futures and cash markets had continued to decline in the two weeks since the last pool update, but the decline in the Australian dollar had offset the drop.
"From a grain export perspective, the drop in the dollar has been most beneficial, because it has protected growers, on this occasion at least, from seeing the drop in the world wheat market and even given growers in Western Australia a slight improvement," Mr Morison said.
"In the two weeks since our last update, Chicago wheat futures have dropped almost 12pc, as investors have taken their cue from the world sharemarket and exited from commodity investments as well.
"In the cash market, wheat from the European Union and the Black Sea region continues to aggressively compete for business, and with a large Australian harvest soon to be available for export on top of this, prices are under pressure.
"On the positive side, Australian growers are already making their marketing decisions, with strong interest shown in the $10/t early commitment premium we were offering on our pool contracts up until 10 October."
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