I am a strong supporter of Grain Producers South Australia, and I believe it is important that agricultural bodies across Australia maintain a strong alliance.
Last week, the chairman John Gladigau wrote a letter to all members announcing that GPSA has decided to withdraw its membership from Grain
Producers Australia (GPA), effective immediately. NSW Farmers has also announced its withdrawal from GPA.
GPSA has gone on to say a unified national voice is important. Let’s hope the internal machinations of the various agricultural bodies can come up with a solution that supports all Australian farmers.
Watch this space.
Middle Eastern conflict causing concern for farmers
FUEL PRICES SURGE
According to a local reseller, fuel prices have been rapidly increasing. The first reaction by many has been to secure supplies on farm, however many are currently unable for around 10 days due to demand.
Hopefully in the next couple of weeks fuel pricing will become more stable as farmers look to avail themselves of enough fuel to complete seeding, which will start in about six weeks.
For some years now, the fuel industry has been lobbying the federal government to have at least 90 days fuel supply on hand, which is the international standard under the 1974 agreement with the International Energy Agency.
It is concerning the Government has consistently dragged its heels on this request, and bewildering that it is bragging about having supply for only 30 days!
FERTILISER
Growers have largely secured their requirements for seeding. The urea price appears to be spiking but this may well be due to speculation in the short term.
According to Derryn Stringer from Agfert Balaklava, urea is secure as far as supply goes because most of our urea comes from South East
Asia rather than the Middle East.
He is suggesting holding off on any urea orders till late March early April to secure tonnages for post seeding application.
GRAIN PRICES
Grain pricing will be volatile with increased demand for most grains, in particular oil seeds. Let’s hope increased demand for biofuel production will see the price point between GM and non-GM canola narrow considerably from its current $100 penalty. It is early days.
Wheat has also started to rally, mostly driven mainly by the just-in-case scenario. Lentil prices remained largely unchanged last week.
MOVING FORWARD
Federal governments love banging on about support for Australians. It is time they did something about supporting the introduction of locally made urea fertiliser and on-shore fuel production.
The latest conflict shows just how precarious the hand-to-mouth supply of fuel and fertiliser can be. Prioritising increased fuel storage capacity is a no brainer in the short term.
State Election looms
In case you have been living under a rock, the State Election is set for 21 March. Despite the media predicting a landside win by the current Labor Government, consider your vote carefully.
You will not get another chance for four years. The best governments have an effective opposition.
Countryside has a green tinge
Recent rainfall has seen a rapid germination across the Mid and Upper North, an early start on stock feed for graziers and an early opportunity to deal with volunteers* for the cropping farmers.
Do not forget to adhere to summer spraying guidelines, including referring to the Mesonet and private weather stations to ensure you are spraying your paddock, not someone else’s.
* For those unfamiliar with the term ‘volunteer’ in a cereal cropping context, it means plants that grow spontaneously from seeds left behind from a previous crop, rather than being intentionally sown by the farmer. They are essentially crop plants acting as weeds in the subsequent rotation.
