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INFOGRAPHICS<br />

Winter crop: Wheat and barley<br />

volumes forecast to rise<br />

With production volumes expected to rise for wheat and barley, other commodities<br />

are expected to see a decline in production, writes Oliver Probert<br />

PRODUCTION OF WHEAT AND<br />

barley are set to rise in the coming<br />

2018/19 winter crop, but volumes of less<br />

common commodities like canola and<br />

chickpeas are set to drop, according to<br />

the latest winter crop report from the<br />

Department of Agriculture.<br />

Its June Crop Report suggests overall<br />

winter crop production will decline<br />

ever so slightly to 37.7m tonnes in the<br />

2018/19 crop year, which refers to the 12<br />

months ending March 31.<br />

This would be down a little from the<br />

estimated winter crop production in the<br />

2017/18 crop year, which the Department<br />

has calculated at 37.8m tonnes.<br />

Relatively stable production between<br />

the two seasons will be driven by an<br />

increase in barley and wheat production,<br />

and a decrease in production of canola<br />

and chickpeas.<br />

Dr Steve Hatfield-Dodds, executive<br />

director of the Department of<br />

Agriculture’s statistics division, said<br />

the mixed outlook for Australia’s<br />

winter crops was the result of lower<br />

than average autumn rainfall, which<br />

“significantly” constrained farmers’<br />

planting intentions.<br />

“The total area planted to winter<br />

crops is forecast to decrease by 4% to<br />

21m hectares,” Hatfield-Dodds said.<br />

“This includes a drop in area planted to<br />

canola, chickpeas and lentils.”<br />

Area planted to barley is forecast to<br />

increase 10% to 4.3m hectares, and this<br />

will drive a small production increase of<br />

3% to 9.2m tonnes. Wheat production is<br />

also forecast to grow 3%, to 22m tonnes.<br />

Meanwhile, canola production is<br />

forecast to fall 16% to 3.1m tonnes, and<br />

chickpea production is set to drop a<br />

significant 40% to 616,000 tonnes. But,<br />

Australia’s oats production is forecast to<br />

remain relatively unchanged clocking in<br />

at 1.1m tonnes.<br />

Hatfield-Dodds said sufficient and<br />

timely winter rainfall would be critically<br />

important for crop development, as lower<br />

layer soil moisture at the end of autumn<br />

was recorded below to very much below<br />

average across most cropping regions.<br />

However, the latest BoM analysis<br />

suggests winter rainfall between June<br />

and August 2018 is likely to be around<br />

average in cropping regions in Western<br />

Australia, but below average in most<br />

other cropping regions.<br />

The Department of Agriculture’s<br />

analysis is more positive than that of<br />

agribusiness bank Rabobank, which<br />

recently noted that very low soil<br />

moisture levels across Australia would<br />

curb yield prospects, and could also limit<br />

further plantings into the future.<br />

Rabobank’s analysis forecasts<br />

Australia’s total winter crop will be<br />

just 36.5m tonnes, over 2m tonnes<br />

lower than what the Department of<br />

Agriculture is forecasting.<br />

“High-end yield prospects have been<br />

removed, certainly for canola, but<br />

increasingly for wheat and barley with<br />

average yields, and in some cases lessthan-average<br />

yields considered likely,”<br />

Rabobank senior grains and oilseeds<br />

analyst Cheryl Kalisch Gordon said.<br />

Ms Kalisch said the Australian<br />

winter wheat crop was expected to<br />

come in between 18m and 28m tonnes,<br />

depending on yields and further<br />

planting, which would depend on<br />

further rainfall patterns.<br />

“If we see a wheat crop of 23m<br />

tonnes, we could see Australian wheat<br />

exports fall to their lowest level in nine<br />

years at 15.5m tonnes,” Kalish said.<br />

Figures in million tonnes. *ABARES estimate. **ABARES forecast. Crop year refers to 12 months to March 31.<br />

54<br />

First published in 1891<br />

July 2018<br />

thedcn.com.au

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