Tough times ahead for winter crops

Farmers throughout the country have seen mixed conditions for their crop planting over recent months and the success of the winter season will rely on considerable rainfall.

This is the conclusion of the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES), which has released its latest Australian Crop Report.

The group explained that some parts of the country have witnessed favourable crop planting conditions, whereas others have been affected by low soil moisture levels.

Parts of New South Wales and Queensland have been most affected by a lack of rainfall, although the really testing time for the agricultural sector is likely to emerge over the winter.

ABARES predicts that areas where winter crops can be planted in over the coming financial year will grow 1 per cent to reach 22.6 million hectares.

Wheat and canola are expected to be the best performers, as their areas are forecast to increase 2 per cent and 3 per cent respectively over the next 12 months.

However, the planting area for barley is predicted to witness a 4 per cent decline, making it more important than ever for farmers relying on their yield to take out crop insurance.

Total winter crop production is expected by ABARES to fall by around 12 per cent in 2014-15, which follows on from the near-record highs posted last year.

Some parts of the country are expected by the Bureau of Meteorology to experience a drier-than-average winter. Above average rainfall is predicted in less than 30 per cent of south-east Australia and southern New South Wales, while there are also warnings of increasing temperatures.

The Bureau of Meteorology has also warned of a 70 per cent chance of an El Nino event during the second half of the year, although these are notoriously difficult to protect.