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Grain is more noticeable at higher ISOs and I would expect some at ISO1600. If you want to get sharp images try shooting in Tv mode and set it to 1/200th as a minimum. Use higher ISOs to keep the shutter speeds to 1/200th on cloudy days and you also have the option of under exposing by half a stop or so and then adding a little brigtness in the editing process.
I used to have a 400D and under exposed by 2/3rds of a stop all the time as I have found almost every Canon DSLR I have owned to overexpose whites.
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