Australia’s wheat production has fallen to an 11-year low for the 2018/2019 production season, reaching 17.3Mt, according to ABARES, as a result of drought.

This makes it the lowest since 2007/08, when the world’s number four exporter produced 13.6Mt.

Asian markets are mopping up Argentinian wheat to replace the lack of supply from Australia due to ongoing drought there.

Argentina is expected to produce 19Mt of wheat, up from 18.5Mt last year, according to US Department of Agriculture data.

China has surpassed the US as NZ’s largest beef export market, accounting for 32% for the season to date versus 21% last year.

Stronger demand from China will act as a backstop to market volatility in the US, which is predicted to have a record year for beef production.

Latest statistics show that 36,202t of beef left NZ shores in January, down 13% from last year.

Unseasonably good pasture growth rates and weaker slaughter prices have slowed NZ cattle slaughter. For the season to date, NZ exported 136,322t, 1% below last year.