BUOYED by unprecedented high prices, good moisture levels in many regions and strong grower confidence following the big season last year, the Aussie canola sector is expecting a big increase in plantings this year.
Domestic old crop values pushed through the $700 a tonne mark last week and while most growers expect a decline off these heady numbers for the 2021-22 crop it is still likely prices later in the year will be well above long-term averages.
Nick Goddard, Australian Oilseeds Federation executive officer, said his organisation had yet to put together a formal planting estimate but said it was expecting a big jump.
"Last year we saw canola production rise mainly on the back of good yields, the actual plant was not huge as many farmers were coming off the drought and wanted to stick with what they saw as cheaper, lower risk options," Mr Goddard said.
"This year we're expecting larger plants in NSW and WA in particular," he said.
"In NSW there has been good moisture through the first four months of the year which has seen people happier to plant canola, while in WA the April rain that was a by-product of Cyclone Seroja means farmers are planting into moisture."
He said the early break would bolster confidence in WA.
"They will be able to get their crop up and growing before it cools down over winter which in that sort of environment with a big focus on winter rain, will go a long way to setting up yields at the end of the year."
Mr Goddard said he did not expect a quantum leap in terms of plantings, but said it would be solid growth.
"We can't just flick a switch and farmers will largely stick with their fixed rotations as we all know the price at the end of the year can be a lot different to what it is at the start, but there will be solid growth.
"Seed constraints are one thing that may cap the hectares and it also remains dry in Victoria and South Australia and if that continues for another month or so you might see some growers shifting into shorter season crops, but overall it looks very positive."
He said growers who could not get hybrid seed would look to substitute with suitable OP cultivars.
"Given where the price is I think they will be happy just to get canola into the rotation if it is a suitable fit even if they may not be able to target those higher yields you can get with hybrids."
Gregor Heard
Gregor Heard is ACM's national grains industry reporter, based in Horsham, Victoria. He has a wealth of knowledge surrounding the cropping sector through his 15 years in the role. Prior to that he was with the Fairfax network as a reporter with Stock & Land. Some of the major issues he has reported on during his time with the company include the deregulation of the export wheat market, the introduction of genetically modified crops and the fight to protect growers better from grain trader insolvencies. Still involved with the family farm he is passionate about rural Australia and its people and hopes to use his role to act as an advocate for those involved in the grain sector.
Gregor Heard is ACM's national grains industry reporter, based in Horsham, Victoria. He has a wealth of knowledge surrounding the cropping sector through his 15 years in the role. Prior to that he was with the Fairfax network as a reporter with Stock & Land. Some of the major issues he has reported on during his time with the company include the deregulation of the export wheat market, the introduction of genetically modified crops and the fight to protect growers better from grain trader insolvencies. Still involved with the family farm he is passionate about rural Australia and its people and hopes to use his role to act as an advocate for those involved in the grain sector.
