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Australia on target for record export of wheat in containers

Despite claims of a shortage of shipping containers, Australian exporters may set a new record. See the figures.

Australian grain exporters are on target to set a new record in shipments of wheat in containers.
Australian grain exporters are on target to set a new record in shipments of wheat in containers.

Australia is on track to ship a record tonnage of wheat in containers this season.

That’s despite industry claims of a shortage of containers and high container costs.

Data acquired by The Weekly Times from the Australian Bureau of Statistics shows grain packers had exported 1.1 million tonnes of wheat in the first five months of this season.

If packing continues at that rate, Australian exports could top 2.67 million tonnes by the end of the season on September 30.

Australia’s record for wheat exports in containers was 2.62 million tonnes in 2011-12.

Last season, Australia packers shipped 2.16 million tonnes of wheat in containers – well above pre-pandemic levels – despite claims of shortage of food grade containers plus high freight costs.

In the first year of freight logistics issues relating to the coronavirus outbreak, traders exported 902,861 tonnes of containerised wheat.

The big buyers of Australian wheat in containers have been Vietnam, Thailand, Taiwan and Malaysia.

They were also the leading buyers in 2020-21, along with Indonesia.

Some grain industry representatives have expressed surprise at the rate of wheat exports in containers this year.

Riordan Grain Services had cut its packing operations at its Victorian receival sites due to the difficulty in sourcing shipping containers.

RGS manager of grain services Mark Lewis said he was surprised by the statistics.

“I would have thought we were dragging the chain a bit because of how hard it is in getting equipment (containers) and so many shipments getting rolled (back),” he said.

“But obviously, we are getting the job done, which is good.”

Mr Lewis thought record shipments was achievable, given that wheat exports were expected to be solid right through to September with another good crop expected this harvest.

But RGS principal Jim Riordan said the unknown factor was the “massive backlog of containers in Shanghai”.

Victorian Farmers Federation grains group president Ashley Fraser said there was solid demand for wheat.

“The fact that we have been able to meet that demand is more of a surprise, given the noise about staffing and shipping issues around the world,” he said.

“Getting the grain there is a mighty effort from the exporters.”

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Original URL: https://www.weeklytimesnow.com.au/cropping/australia-on-target-for-record-export-of-wheat-in-containers/news-story/1393cf8feb320ee7990b8344dce438fb