For western and southern Australia, cool and wet weather conditions are predicted over the next three months. This could significantly improve the conditions for wheat growing.
The Australian Meteorological Institute BOM sees a 70% chance of above-average rainfall in Western Australia, South Australia and the state of Victoria for the next three months. The states of New South Wales and Queensland are said to receive high rainfall on average. In April, winter wheat is sown there for the 2020/21 harvest. It is the continent's most lucrative agricultural export.
If the weather forecast is correct, that would be good news for the farmers.
The 2019/20 wheat harvest, which was only recently brought in, fell to a 12-year (record) low, which brought the prices on the futures markets to an 18-month high.
This grotto-bad result followed a 3-year drought that hardly left a drop of water in the soil. Conditions did not change until January 2020, when it rained continuously on the east coast for four days. But the farmers say that that's not enough.
The government's top commodity analyst will release its first harvest estimate for 2020/21 in March.
Source
HANSA Terminhandel
