Australian Wheat Prices Soar Amid Escalating Black Sea Disruptions

Australian wheat prices surged to a 13-month high in July due to disruptions in Black Sea exports caused by escalating tensions between Russia and Ukraine.

The price of Australian Premium White wheat reached $289/metric ton on July 31, up $18/mt from the start of the month, while Australian Standard White with no protein guarantee rose $16/mt to $282/mt during the same period.

Trade sources in Asia and Australia reported a surge in price inquiries from Southeast Asian buyers, but the rapid rally in prices stymied regional appetite, leading to fewer bulk shipment trades than anticipated. FOB prices softened towards the last week of July.

Crop conditions remained positive across most of Australia, with decent precipitation in the wheat belt, except in northern New South Wales and Queensland. The El Nino forecast looms over the country, but its impact on the marketing year 2026-27 crop will depend on the timing of its onset.