Rain takes toll on Australia’s September wheat exports

Australian wheat exports fell in September will rainfall damaging crops and creating logistics issues, along with the country's ongoing labour shortage taking its toll on trucking and rail companies.

Australian wheat exports fell by 27pc from 2.5mn t in August to 1.8mn t in September, according to Australian Bureau of Statistics data. Australia's January-September exports reached 22.37mn t compared with 22.39mn t for the same period in 2021.

South Korea's wheat intake in September dropped by 45pc from the previous month, while exports to Vietnam fell by 34pc over the same period.

A third consecutive La Nina weather trend in Australia has brought above average rainfall causing flooding and road closures. Delays affected rail and truck transport with not enough trucks on the road to move the amount of grain required. Mobile shiploaders are being used to boost Australia's export capacity, although disruptions to transport before products hit ports has offset some of the potential increases.

Retaining trained train drivers is becoming increasingly difficult with mining companies prepared to pay well above award wages in comparison with agriculture. Trucking companies are struggling with recruitment as the industry's workforce is ageing dramatically, with the average age of truck drivers in Australia at 43 years, according to the Queensland Trucking Association.

Technology firm Digital Agricultural Services assessed that 0.4pc of the crop planted in Victoria state has been destroyed by flooding this year.Gwydir, Narrabri, Walgett and Goondiwindi areas in New South Wales (NSW) and Queensland, have lost 20pc of crop areas, while flooding on the Moree Plains in NSW has destroyed 322,000t of wheat production or 25pc of the total.

By Jessica Clarke