January 5, 2009

Australia's grain harvests are expected to be 10 million tonnes-more from the previous year.

There are signs that the drought conditions are receding, especially with the recent good rainfalls, said the Australian Bureau of Agriculture and Resource Economics (ABARE).

Winter grain crops are expected to yield 35 million tonnes, with wheat production pegged at 23.7 million tonnes.

This is, however, seen as negative news for the global market due to worldwide bumper harvests and low grain prices.