Latest news with #Rabobank
Yahoo
3 days ago
- Business
- Yahoo
Major bank deals double blow for Aussie savers with interest rate cut: 'Disappointing'
NAB has cut the interest rate on one of its popular savings accounts today. It's a double blow for customers, after the major bank already cut rates following the Reserve Bank of Australia's (RBA) cash rate cut last month. NAB has cut its Reward Saver account by 0.05 per cent, bringing the new maximum rate down to 4.35 per cent. It follows a 0.25 per cent cut on May 23, bringing the total cut to 0.30 per cent. While the bank's move is a small one, it's a sign of a bigger trend when it comes to falling savings rates. Canstar research found other banks were cutting rates above and beyond the RBA cuts, including ING and Rabobank. RELATED RBA urged to cut interest rates in weeks as unemployment 'blow out' fears escalate Centrelink age pension changes coming into effect from July 1 Centrelink rule change gives more Aussies access to $5,000 cash boost 'It shows that banks don't need a cash rate change to move the goalposts for customers. It's a small move but a disappointing one nevertheless,' Canstar data insights director Sally Tindall said. The average savings rate on its database is currently 3.07 per cent. There are just six banks still offering an ongoing savings rate of 5 per cent or more. 'That said, if the RBA wields its knife again in July or August, savings rates starting with a 5 won't last beyond winter,' Tindall said. NAB expects the RBA will cut interest rates again in July, August and November, to bring the cash rate down to 3.10 per cent. CBA, Westpac and ANZ think the next cut won't be until August, with Westpac recently doubling its forecast to expect cuts in August, November, February and May. CBA and ANZ expect there will only be two more cuts in this cycle. BOQ Future Saver for 14 to 35 year olds offers the highest ongoing savings account rate at 5.10 per cent, according to Canstar. That's despite the bank cutting the maximum rate yesterday from 5.25 to 5.10 per cent. Customers have to deposit $1,000 and make at least five transactions in a linked bank account to get this maximum rate. Other accounts currently offering 5 per cent savings rates are BCU Bank Boss Saver, P&N Bank Savvy Saver, Westpac Life Spend&Save, Move Bank Growth Saver and ING Savings Maximiser. Term deposit rates have also been falling, with more than 50 banks cutting at least one rate in the last month, including all of the Big Four banks. 'Term deposit rates are, unsurprisingly, falling faster than at-call savings rates, as banks continue to bake in further cash rate cuts into the fixed rate term,' Tindall said. 'If you're someone who likes the certainty and security a term deposit can bring, time is of the essence as these rates are likely to keep on falling in the weeks ahead.'Error in retrieving data Sign in to access your portfolio Error in retrieving data
ABC News
3 days ago
- Business
- ABC News
Australian chocolate gains a competitive edge in global cocoa shortage
Chris Jahnke's Far North Queensland cocoa farm is not the cheapest place to buy chocolate, but as the price of imports soars, people are lining up to buy his beans. "I've actually got a waiting list of people wanting to buy Australian cocoa beans and we just don't have enough to supply them," Mr Jahnke said. Supply challenges in the major West African cocoa-producing countries, Ghana and Ivory Coast, have led to record prices, driving up the cost of chocolate for consumers. Not just a cocoa grower, Mr Jahnke also produces chocolate at his Mission Beach property, about 130km south of Cairns in Queensland's far north. "I get calls probably at least once a week from Australian chocolate makers — these are the sort of boutique, bean-to-bar kind of makers — wanting to buy Australian beans," he said. "That's not just in Australia. We get inquiries from overseas now that we're becoming a bit more well known." He expected it would lead to growth in the Australian industry over the next decade. "I think we'll get to a point where we'll be … maybe producing a couple of thousand tonnes of cocoa here in Australia, which is still a drop in the ocean in the worldwide cocoa supply," he said. Historically, cocoa prices have averaged close to $4,600 a tonne, according to Rabobank agricultural analyst, Paul Joules. But by the end of last year, prices peaked at almost $17,000 a tonne, eventually settling at about $14,000 a tonne. Later this year, the European Union plans to enforce new trade regulations that penalise products linked to deforestation. It will apply to commodities including cattle, wood, cocoa, soy, palm oil, coffee, rubber, and their associated products. Mr Joules says it will be a significant change. "It could have big impacts and it could cause a bit of a shift in supply chains for these key EU importers and where they're getting their products from." He says, to some degree, prices have already started to move because Europe is a significant importer of cocoa. "It's going to be very difficult to source products from key [European] producers so that, potentially, was also one of the factors as to why we saw higher prices," Mr Joules said. "There's already a bit of fear in the market and, of course, depending on how it plays out, it could potentially cause a little bit more upside." In May, the federal Department of Agriculture said Australia had been classified as a low-risk country under the European regulation. That means it will be easier for EU businesses to source ingredients grown here than from countries classified as higher risk, like Ivory Coast. For Mr Janke, that presents a big opportunity. "Deforestation is a common thing in West Africa, which grows 70 per cent of the cocoa, so there is a significant problem for that industry in Europe," he said. "Because so much of cocoa is grown in Third World countries, where they have all sorts of compliance issues, we're at the head of the queue just by virtue of where we are."
New Indian Express
4 days ago
- Business
- New Indian Express
Meghalaya pays farmers for carbon removal; marks milestone in India's green economy
NEW DELHI: The Meghalaya government has made a groundbreaking move by disbursing payments to farmers for their contributions to carbon sequestration through the plantation of multi-species tree-based agroforestry in biodiversity hotspots. This first payment marks a significant step toward establishing India's emerging carbon market, supporting livelihoods driven by the community. Chief Minister of Meghalaya, Conrad K. Sangma, presented cheques to farmers from the Garo Hills region. The MegCare program, officially known as the Meghalaya Carbon Agroforestry for Community Resilience and Ecosystems, was launched in collaboration with Iora Ecological Solutions (IORA) and Rabobank's Acorn platform. The program aims to promote carbon market initiatives with community involvement since 2024. The programme enabled tree-based farming practices among 10,400 farmers who planted diverse trees over 22,000 hectares. The efforts improved biodiversity, secured spring sheds, stored carbon in the soil, and expanded biomass. Farmers under MegCare receive carbon income based on the volume of carbon they remove through agroforestry. In this first round of payments, the sale price of each Carbon Removal Unit (CRU) reached EUR 40 – the highest per-tonne carbon payment ever made to farmers in India and nearly four to five times the global average.
Yahoo
4 days ago
- Business
- Yahoo
Cocoa Prices Hammered by Favorable Growing Conditions in West Africa
July ICE NY cocoa (CCN25) today is down -266 (-2.68%), and July ICE London cocoa #7 (CAN25) is down -202 (-3.14%). Cocoa prices today added to Tuesday's losses and are sharply lower, with London cocoa falling to a 2-1/2 week low. Rain forecasts for West Africa are expected to benefit the region's cocoa crops and are weighing on prices. Forecaster Vaisala stated Tuesday that moderate to heavy rainfall has fallen in West Africa over the past few days and is expected to persist through the end of the week. Coffee Prices Pressured by Rain in Brazil Grains, Unrest, & Gold: What Middle East Tensions Mean for Your Portfolio Now West African Rain Benefits Cocoa Crops and Undercut Prices Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. The rebound in current cocoa inventories is also bearish for prices. Since falling to a 21-year low of 1,263,493 bags on January 24, ICE-monitored cocoa inventories held in US ports have rebounded and climbed to a 9-month high of 2,310,539 bags Tuesday. Cocoa prices have some support from the slowing pace of cocoa exports from the Ivory Coast, which could lead to tighter future cocoa supplies. Monday's government data showed that Ivory Coast farmers shipped 1.66 MMT of cocoa to ports this marketing year from October 1 to June 15, up +6.4% from last year but down from the much larger +35% increase seen in December. Signs of smaller cocoa exports are supportive of cocoa prices, following last Wednesday's news of a -11% y/y decline in Nigerian April cocoa exports to 18,561 MT. Nigeria is the world's fourth-largest cocoa exporter. Late last month, NY cocoa rallied to a 4-1/2 month nearest-futures high on concerns about weather in West Africa. Despite the recent rain in West Africa, drought still covers more than a third of Ghana and the Ivory Coast, according to the African Flood and Drought Monitor. Cocoa prices also have support on quality concerns regarding the Ivory Coast cocoa mid-crop, which is currently being harvested through September. Cocoa processors are complaining about the quality of the crop and have rejected truckloads of Ivory Coast cocoa beans. Processors reported that about 5% to 6% of the mid-crop cocoa in each truckload is of poor quality, compared with 1% during the main crop. According to Rabobank, the poor quality of the Ivory Coast's mid-crop is partly attributed to late-arriving rain in the region, which limited crop growth. The mid-crop is the smaller of two annual cocoa harvests, which typically starts in April. The average estimate for this year's Ivory Coast mid-crop is 400,000 MT, down -9% from last year's 440,000 MT. Concern about consumer demand for cocoa and cocoa products is bearish for cocoa, driven by fears that tariffs will exacerbate already high cocoa prices. On April 10, Barry Callebaut AG, one of the world's largest chocolate makers, reduced its annual sales guidance due to high cocoa prices and tariff uncertainty. Also, chocolate maker Hershey Co. recently reported that Q1 sales fell by 14% and said it anticipated $15-$20 million in tariff costs in Q2, which will boost chocolate prices and further weigh on consumer demand. Mondelez International reported weaker-than-expected Q1 sales, stating that consumers are cutting back on snack purchases due to economic uncertainty and high chocolate prices. Weaker demand from cocoa processors was seen in Q1. Q1 North American cocoa grindings fell -2.5% y/y to 110,278 MT. Q1 European cocoa grindings fell -3.7% y/y to 353,522 MT. Q1 Asian cocoa grinding fell -3.4% y/y to 213,898 MT. On May 30, The International Cocoa Organization (ICCO) revised its 2023/24 global cocoa deficit to -494,000 MT from a February estimate of -441,000 MT, the largest deficit in over 60 years. ICCO said 2023/24 cocoa production fell -13.1% y/y to 4.380 MMT. ICCO said the 2023/24 global cocoa stocks/grindings ratio was 27.0%, a 46-year low. Looking ahead to 2024/25, ICCO on February 28 forecasted a global cocoa surplus of 142,000 MT for 2024/25, the first surplus in 4 years. ICCO also projected that 2024/25 global cocoa production will rise +7.8% y/y to 4.84 MMT. On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Otago Daily Times
5 days ago
- Business
- Otago Daily Times
Tariffs causing uncertainty over demand for beef, milk
New Zealand beef and milk demand was steady over the first quarter of the year but uncertainty looms with the results of export tariffs to the United States and knock-on effects from the flurry of international agreements being negotiated with the Trump administration yet to be factored in to reports. New Zealand beef production for the first three months of this calendar year hit around the 200,000 tonne mark, a report from agribusiness specialist Rabobank shows. That was up by 1% on the previous year. "This uptick defied earlier forecasts predicting a 5% decline in the first three months of the year, with the higher slaughter volumes in the North Island likely influenced by dry on-farm conditions over summer," report co-author RaboResearch senior agricultural analyst Jen Corkran said. However, RaboResearch is still forecasting a 4% decline in total New Zealand production volumes for the 2025 calendar year, the report said. "Slaughter numbers nationally from January 1 to late April 2025 are down by 3.3% compared to the same period in 2024," Ms Corkran said. "We expect slaughter numbers will continue to be lower than 2024 throughout the rest of the year, with production volumes influenced by slaughter weight. "Beef exports were basically flat for Q1 versus 2024, at close to 129,000 tonnes," Ms Corkran said. "However, over the same period, the value of beef exports surged by 30% driven by robust demand and a weaker New Zealand dollar." New Zealand year-on-year export volumes were steady and up 30% by value. "The United States continues to be a key market, accounting for 51% of export volumes and 46% of total value in Q1, 2025. "Conversely, exports to China have further declined, with volumes now making up 31% of overall beef exports." Ms Corkran said the higher export returns were driving record farm-gate prices across all cattle cohorts. "The April-June export data will be crucial in observing changes in trade flows and values, particularly given the implementation of US tariffs." RaboResearch says demand is at historic high for imported beef to the US and with New Zealand facing a base 10% tariff, export volumes should remain steady, though consumers would wear additional costs. Despite that, bigger ramifications could be expected if there is a big change to the US-China trading arrangements. The results of a number of countries entering into and negotiating trade agreements with the US could also have implications for global trade dynamics, RaboResearch says. The United Kingdom, China, Japan, South Korea, India, Canada, Mexico, Israel and Italy are just some of the nations already involved in talks. Meanwhile, geopolitical uncertainty and the "potential for a wider series of outcomes" across the season could also affect milk prices, Fonterra says. "Therefore, our opening forecast farm-gate milk price for the 2025-26 season of $10.00 per kgMS sits within a wide forecast range of $8.00-$11.00 per kgMS," a statement from Fonterra chief executive Miles Hurrell said. That forecast puts prices with a range either side of the current season milk price of $10.00 per kgMS. "We've delivered strong shareholder returns through [the financial year] 2025, including a 22c interim dividend, and as we get closer to the end of the [financial] year, we are focused on maintaining this momentum. "Our forecast farm-gate milk price for the current season is driven by strong demand for our milk price reference products and our range is unchanged at $9.70-$10.30 with a midpoint of $10.00 per kgMS. "We're also pleased to tighten our year-end forecast earnings within the existing range, given the strength of our third-quarter performance," Mr Hurrell said.
