Farmanco Facts - December 2021


Wayne Birch writes our December editorial and begins with ‘what a year it has been!


In his Editorial, Wayne reflects on an interview he recently heard between Alan Kohler (business editor and finance presenter) and Chris Judd (Brownlow Medallist) where he found parallels between the philosophies required to succeed in sport, with those required to be successful in business – particularly farm businesses.


We also acknowledge Rob Sand’s 30 year anniversary with Farmanco.


Key Points of articles are:

Grain Prices & Strategy for the 2022/23 season

(Ryan Duane, Grain Marketing Consultant)

  • Wheat, barley and canola markets are fundamentally supported

  • Both futures and cash prices are at historic highs for the current, 2022 and 2023 seasons

  • Fertiliser, chemical and other input costs are also at historic highs

  • Review budget and breakeven prices and consider hedging a portion of your 2022 (and possibly 2023) crops as production risk allows

“This article summarises the reason behind the rally in commodity prices and highlights some of the opportunities available for next year and 2023/24.”

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Improving Fertiliser Efficiencies

(David Cameron, Agronomist)

  • We can grow profitable crops with higher fertiliser prices

  • Review your efficiencies across the rotation and for this crop

  • Burning provides a short-term gain, but long-term loss

“Comments on some practical issues relating to applying high priced nutrients and is intended to be an encouragement for you to drill further into these issues with your agronomist.”

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Upcoming changes to workplace safety laws in Western Australia

(Katrina Kowald, consultant in-training)

  • Major differences to the national WHS model

  • What you should do, or start thinking about

  • Things you need to know

“The Western Australian State government is due to release the new Work Health and Safety Act in January 2022, with the new laws to be implemented over a 12-to-18-month period”

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Harvesting, while planning for next season

(Mark Lawrence, Agronomist)

  • Early planning is more important than ever for 2022

  • This is due to already high input prices and the potential for product shortages

  • Know your cost ratios, make every dollar count, and question advice given

  • There are programs available to help with planning for the 2022 season

If you don’t get an economic result out of an input, then all it is doing is chewing into your gross margin and therefore operating profit.

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