Gains for wheat in mixed farming season

Wednesday, 17 December, 2008 - 22:00

AFTER several years of drought, farmers in the northern Wheatbelt had a bumper season in 2008, with a 7 million tonne crop expected this season.

While the outcome for farmers inland from Geraldton was spectacular, it was a mixed bag for the grains industry overall due to a miserable finish in the Great Southern.

"There were good and bad stories in grains," WA Farmers Federation president Mike Norton said.

"The northern Wheatbelt had the largest percentage of wheat ever because of early cyclonic rains in March and April.

"A lot of those fellows have really cashed out.

"But wet weather caned some of the eastern areas, so it's not going to be good."

Rain, hail and flooding have caused strife for Salmon Gums, which has not yet been able to harvest.

"That's the cycle of farming. There are good and bad stories," Mr Norton said.

While falling prices were affecting the price of farm produce worldwide, fuel and chemical costs also fell, but Mr Norton said farmers were still playing a game of "bluff poker" with China over fertiliser tariffs.

PGA of WA grains and economic policy director Sheldon Mumby said overall it had been a financially beneficial year.

"It's been an excellent year for the grain industry, whatever they're farming," he said.

"It's been a bumper year for the northern Wheatbelt. The last five years they've had poor yields, poor weather, so this is absolutely fantastic.

"The Great Southern area has been horrendous. That's where they're doing it tough. Here we are in December and they're still harvesting."

Mr Mumby said 2008 was the first year of deregulation, which had delivered tremendous benefits.

"Some people have been concerned that prices have dropped, but quite a few who locked in early have got very good prices for their grain," he said.

"This is the first time since the 1930s that grain harvesters have been able to control their destiny."

Mr Norton said dairy was the standout performer in WA farming. The sector's remaining players have benefitted from lower competition due to an exodus of farmers this decade, which has led to better margins.

"They've gone from rags to riches," he said.

"They had deregulation in 2000 and what with the supermarkets and the processers, they were really struggling financially.

"So they're the stand-out success."

Increased rains throughout winter were a double-edged sword for sheep farmers, on the one hand ensuring a good crop for the summer months but also increasing the risk of fly-strike.

In early December, the Department of Agriculture and Food urged farmers to monitor sheep for flystrike, with late rains and mild, humid weather creating good blowfly breeding conditions statewide.

Department of Agriculture senior veterinary officer Di Evans said conditions had been ideal for large numbers of flies to emerge rapidly, which would lead to severe cases of body strike.

"In addition, recent rains have delayed shearing, exposing already susceptible long-woolled sheep to a prolonged and greater risk of strike," she said.

Ms Evans said blowfly outbreaks could be controlled with chemicals, but this involved delaying shearing for six to eight weeks, contributing to the overall lateness of the entire farming season this year.