The EPR range for APW wheat pool is now $350 - $370 (FOB, GST exclusive) and the Western Australian wheat noodle grade is now $355-$375.

AWB Australian Commodity Management Division general manager, Mitch Morison, said the latest prices reflect ongoing significant falls in international wheat futures.

"The risk premium in US wheat futures has been dramatically reduced as buyers become more confident with the outcome of the northern hemisphere winter wheat harvest," Mr Morison said.

"Northern hemisphere crops are in excellent condition, with the European Union, Russia and Ukraine set to compete aggressively in the export market when their new crop becomes available mid July onwards.

"US crop conditions remain generally good, with a very large Soft Red Winter crop expected, and although Hard Red Winter conditions have not been ideal for much of the growing season, recent moisture has put a floor under production, with additional tonnage likely given

further ideal conditions.

"The Indian crop also finished well and the success of the government procurement program has made a significant import program unlikely however, Middle Eastern crops are likely to see below average yields.

"The combined result of increasing confidence in the production potential of major exporting nations and falling import demand from India has pressed wheat prices lower."

Mr Morison said the lower international wheat price in combination with the high Australian dollar has resulted in a reduction of the new crop pool estimate.

Growers are again reminded that the 2008/09 EPR is currently not supported by a hedging program and will continue to fluctuate by the price moves seen in international markets.

AWB will continue to provide regular updates on the 2008/09 season pool estimate going

forward.