According to the latest Arable Industry Marketing Initiative (AIMI) report plantings for cereals are back following difficult autumn-winter periods in some areas.
Total hectares sown in wheat and barley this season are predicted to decrease by about 8% but Federated Farmers arable chairwoman Karen Williams said growers are positive about future prospects.
AIMI results from the July cereal survey confirm average yields are down compared to last season.
Milling and feed wheat yields are down 12%, malting barley is down 9%, feed barley down 10%, milling oats down 17% and feed oats down 6%.
“This is no surprise and reflects variable growing conditions – hot, dry, wet, cold throughout the key crop establishment periods in late spring and early summer,” Williams said.
“Compounding that, autumn-winter sowing has been difficult in some areas with some crops drowned out.
“Almost 20% of farmers who responded to the survey said they are either resowing or had not put in crops because of the wet conditions.”
Overall, autumn-winter sowing is down 15% on the levels indicated in April.
“Farmers will be hoping for good spring conditions to complete planting,” Williams said.
While unsold stocks of feed wheat are slightly higher than this time last year, 68,300 tonnes compared to 63,600t in 2017, unsold quantities of the five other crops, particularly feed barley, are less than in 2017.
“We should also point out that arable sector representatives have noted quite a bit of activity since the July survey, especially with feed wheat finding a home.”
Williams said domestic grain use by the livestock industry is more positive because of the closer price parity with imported supplement feeds and moves away from the use of imported supplementary feeds such as palm kernel.
“This also helps to tighten up on environmental and biosecurity risks.”
The survey indicates a predicted reduction in feed barley and milling wheat but with many variations and options open to farmers.
The next AIMI survey in October will provide an indication of what has actually been planted.
Williams said growers encourage farmers contact their sources to procure domestically produced and quality assured grain now so it can be put in the ground.
“If farmers wait to commit to grain later in the year it may be committed elsewhere, so be proactive,” she said.
The overall survey results show growers are positive about the future for arable farming.
“This is certainly helped by pricing positivity and good options available in the milling industry should farmers wish to take them.”
Federated Farmers encourages growers to have timely conversations about prices to ensure they are a fair reflection of current market value, she said.
