Australian Crop Forecast 'Significant Positive' for GrainCorp -- Market Talk

Dow Jones
06/03

0052 GMT - The latest assessment for the 2026-27 Australian winter crop looks average to Ord Minnett. Government forecaster Abares signals an east-coast crop of 23.8 million tons. That's down 27% on a year ago, but up 2.5% on the 10-year average. Analyst John Lawlor views the forecast as a significant positive for GrainCorp. That's because of concerns about a potentially disastrous forecast due to below-average rainfall across major growing areas through to May. There was also a heightened risk of an El Nino event and ongoing fertilizer cost and availability issues due to the Middle East. The crop will ensure solid FY27 volumes for GrainCorp, Ord Minnett says. "Additionally, increasing grain prices will see more of the near-record FY25 and FY26 volumes come out of on-farm storage and into GrainCorp's network." (david.winning@wsj.com; @dwinningWSJ)

 

(END) Dow Jones Newswires

June 02, 2026 20:52 ET (00:52 GMT)

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