It’s a bumper edition of the Elders Cropping Market Update this month. From the field commentary from across the country highlights the different stages of growth for each state with several examples of wet and dry weather pest and disease issues.
Cold conditions are a common thread across many states which has had the benefit of killing off pests, but the downside of slowing plant growth. Western Australia and South Australia are looking optimistic at the halfway point of the season. While further south getting crops to keep up with nitrogen applications is proving challenging in Victoria. The next two to three weeks will be crucial for Tasmania as cold weather sets in.
While in New South Wales and Queensland, cold dry weather is starting to impact crop finishing. Summer crop plans are top of mind for Queensland growers with many adjusting rotations towards more hay and fodder crops to get through a feed gap, should dry weather set in.
From the field
Western Australia
“Western Australia has seen some cold conditions across the agricultural regions. This has slowed plant growth in crops and pastures. The cold conditions have also made it problematic for growers who are needing to apply in season treatments to their crops.
“There are a range of soil moisture conditions across the state from extremely wet in the south the marginally dry in northern and eastern areas. There is much speculation on what the end of the growing season will be like, which is driving a conservative approach to additional inputs to this year’s crop.
“Nutritionally, crops are okay, however the effect of the frosty weather is showing. Most growers have been able to access the Nitrogen which will allow crops to recover once we get some sunshine.
“At this stage we are seeing signs of disease across various crops and locations. We are expecting with some longer days in August that we will see these affect crops if left unmanaged.
“Halfway through the growing season, there is a high level of optimism, however a lot to get through before harvest.” - Bill Moore, Elders Technical Services Manager, Western Australia.
South Australia
"The crops are performing well and potentially above average in some regions. The moisture content is giving us good confidence going into spring, and despite the prediction of an El Nino still developing to be dryer, it doesn’t mean we cannot grow and finish crops with current moisture and future rainfall events.
“It is looking a bit too wet in the south-east, so definitely looking for some dryer days in that region. This last week we can start to make recommendations again as it’s drying out enough to spray, but there are some ugly paddocks around which were bogged in seeding and didn’t have any following up herbicides until now.
“In the lower rainfall zones, we are still having challenges with a lack of nitrogen in some areas, crops are a little underdone due to last year’s well above average season taking out more than growers realised.
“A few slugs and snails around early on, which we have now recovered from, but they did have a bit more of an impact than we would have liked.
“Powdery mildew in wheat in the Riverland and Mallee has also been starting up again after VS and S varieties being hit early, but most have already been sprayed with a fungicide.” - Lyndon May, Elders Technical Services Manager, South Australia.
Victoria
“Conditions have gone from dry to very wet and are just drying up again so farmers can get back onto paddocks.
“Growers are catching up with their post-emergent applications and top-dressing fertilisers and the like at the moment, which is keeping the broadacre guys busy.
“The season is set up pretty well with moisture profiles in the soil, so great crop potential despite the Bureau of Meteorology (BOM) predictions of an El Nino spring. There is obviously a little bit of caution with how growers are approaching the back end of the season, but at this stage prospects look pretty good.” - Craig Farlow, Technical Services Manager, Victoria and Riverina.
Wimmera Mallee
“Crops have grown significantly in the last fortnight on the back of some longer sunny days and plentiful soil moisture.
“Early sown crops capitalised on soil warmth and moisture at seeding, with some fantastic looking crops around the region. Later sown crops have been a bit slow to start but are catching up on the back of some early nutrition and better growing conditions of late.” - Pat Conlan, Elders Agronomist, Swan Hill.
(Above quotes are from this article written by Pat last week)
Tasmania
“Early sown cereal crops are looking good approaching Z31 or thereabouts. Later sown crops are progressing slower due to cold and wet conditions in the north of the state.
“The biggest challenges will be getting crops through the next two to three weeks of cold and wet weather and keeping adequate plant numbers in the paddocks. Birds (ducks, cockatoos and skylarks) seem to be the biggest pest issue, with lower-than-normal slug and snail numbers seen.
“Most canola crops are looking okay, although Blackleg is becoming an issue in some areas due to seasonal conditions. Early sown crops are progressing well, with first crops entering a budding phase, whilst later sown crops (April/May) are still at a 4-6 leaf stage. Similar issues with bird damage.” - David Squibb, State Agronomy and Rural Products Specialist, Tasmania.
New South Wales
Goulburn
“So far, the season is quite variable in areas due to rainfall. We have been lucky enough in Goulburn itself to receive some rainfall to keep the winter crops and pasture ticking along. Some large frosts and cooler temperatures are slowing growth.
“At the start of the season a lot of newly sown pasture and lucerne were subject to slug damage. Some RLEM and a few aphids, not in too high numbers that have warranted spraying. The cold has slowed most pest challenges at the present.
“For us, like most of the state, the biggest challenge is rain. It is beginning to get quite cold and dry which is limiting growth going into spring.” - Kate Connolly, Agronomist, Goulburn, New South Wales.
Queensland
“Continued dry conditions across most areas of SE and SW Queensland has growers and agronomists reworking plans for spring and summer crops.
“Winter crops are struggling to finish due to the dry conditions. Hotspots of disease outbreaks in barley and wheat crops has seen a run-on fungicide in some areas, with yellow spot in wheat and powdery mildew in barley being the main concerns. Despite the dry conditions there are significant weed spray programs happening in key production areas. Recent findings of herbicide resistant ryegrass have also contributed to the challenges.
“The Northern growers are experiencing better conditions with the Burdekin cane crush being held up due to rain. This is frustrating producers as they are experiencing the highest sugarcane prices we have seen in a long time and significantly increased yields this crush.
“The vegetable producers in SE Queensland are producing above quotas, due to some raised daytime temperatures and accelerated crop growth. This is providing consumers some relief at the checkout from a price point of view.
“Most agronomists are now focused on summer crop plans with predicted drier conditions creating some uncertainty around crop rotation. The outlook has growers looking to produce hay crops this spring and summer to support their feed gap situations should the dry conditions continue into next winter.” - Maree Crawford, Elders Technical Services Manager, QLD/NT.
Grain prices strengthen as Black Sea tensions continue
Trent Smoker, General Manager from Clear Grain Exchange shares his thoughts on the current grain market and what’s been happening on the exchange.
Local grain prices have strengthened, particularly in the last week, with tensions boiling over in the Black Sea as Russia bombed and damaged Ukrainian port infrastructure used for grain exports.
The Chicago Board of Trade (CBOT) futures market has had trouble digesting the impact to grain movements out of the region with prices reacting strongly in both directions in recent days.
Despite the volatility, market commentators are suggesting the increased tensions has seen some level of risk premium added to international prices.
The lift in CBOT wheat futures provided an opportunity for Australian buyers to increase their bids and many Australian growers to sell at prices they had been targeting.
137,000 tonnes of grain traded on Clear Grain Exchange (CGX) last Thursday as Australian buyers scrambled to secure grain pushing their bids up to prices growers were targeting to sell.
In many instances, growers sold grain through CGX at “above” their offer price as buyers were vigorously out-bidding each other for grain before the CGX market opened.
With little rainfall in the last month, drier conditions have continued in Northern NSW and QLD which has seen buyer demand increase and local prices for feed grains trend upwards.
Market analysts suggest that buyers are continuing to ship Western Australian feed grains into Brisbane to substitute short local supply, which is adding to the strong demand for grain in typically export focused states of WA and SA.
International canola prices have moved higher on drier weather forecasts in Europe and Canada. There is also nervousness around soybean yields in the US, as well as increased demand from China which has pushed soybean futures to their highest level in three months.
This has meant that locally canola prices have improved by around $60/t in the last month as buyers react to these international price increases and bid up to match grower selling targets.
55 different buyer businesses have purchased grain on Clear Grain Exchange this month. By offering grain on CGX, it gives all buyers the ability to purchase or bid on your parcel.
There is demand for Aussie grain, however often it can be a difficult job for buyers to find and purchase the grain they’re after. Buyers are often unaware of what grain is available, where it is located and importantly what prices the seller is looking for.
By offering your grain for sale on Clear Grain Exchange you make it easier for every buyer to see your grain and try to buy it - that's a good thing, because we want as many buyers as possible trying to buy your grain.
You're protected by anonymity and secure settlement at all times. All you need to do is decide what price you want for your grain - the rest is looked after for you!
Regardless of what grain you have in warehouse or whether you want to sell in the near-term or are prepared to target higher prices and potentially hold grain for longer; get it on offer so all buyers can see it and try to buy it.
Market indicators
Want to control the selling price of your grain?
Clear Grain Exchange (CGX) is a secure and independent online exchange that allows you to set a price for your grain and market to all buyers.
It’s free to register and offer your grain at your price, pay nothing until your grain is sold.
To register or find our more contact click here or call 1800 000 410
Learn more about Jeff's experience with Clear Grain Exchange.
"The best thing about CGX i syou set your own price. I sell wheat and barley through CGX and usually achieve above the market value as advertised in the current market."
Jeff Burgess, grain grower, Gulnare, South Australia.
The information contained in this article is given for the purpose of providing general information only, and while Elders has exercised reasonable care, skill and diligence in its preparation, many factors (including environmental and seasonal) can impact its accuracy and currency. Accordingly, the information should not be relied upon under any circumstances and Elders assumes no liability for any loss consequently suffered. If you would like to speak to someone for tailored advice relating to any of the matters referred to in this article, please contact Elders.