Heavy rain in the eastern regions of Australia can affect the state of the wheat seed and deteriorate in quality, Reuters reports.
Heavy rainfall of up to 100mm is forecast in northern Victoria, southern New South Wales and northern Tasmania, about a quarter of the annual average for these regions of Australia. The experts at IKON Commodities therefore estimate that in New South Wales about half of the total wheat harvest, which is 6-7 million Tonnen a deterioration in grain quality is to be expected.
The share of feed wheat in the total Australian grain harvest could therefore increase significantly in 2022/23. This will in turn encourage some importers to refocus on purchasing high protein Wheat concentrate on alternative origins.