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Farmanco Facts – June 2023

This month in Farmanco Facts, Grain Marketing gives an update on Canola; where are values going and what are the key drivers. Our consultants have contributed articles on The Aboriginal Cultural Heritage Act (ACH), an update on Red-legged earth mite resistance, and Contract rates and the rising cost of machinery.

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Key point teasers:


Adrian Clancy (Grain Marketing Consultant)

  • Where are canola values going?

  • How is the canola market changing?

  • What are the key drivers in the canola market?

  • How long will it likely take to see values rebound?

When looking to understand what is happening with the canola market, it’s important to also consider the supply side of the equation.


The Aboriginal Cultural Heritage Act & your Farm Business: Part 2

Stacey Bell-Crookes (Farm Management Consultant)

  • The Aboriginal Cultural Heritage (ACH) Act 2021 will apply to all Western Australians, but it is not expected to impact the majority of Western Australian farmers.

  • The regulations and guidelines for the ACH Act have been released, they are effective from July 1, 2023.

  • Due Diligence Assessment is the initial step to be completed by the person proposing an activity

Since the Act was passed, there has been some concern among the farming community about what this change will mean for them and the potential impact to their businesses due to an initial lack of information focused on agriculture within the bill.


Red Legged Earth Mite Resistance Update

Chris Robinson (Agronomy Consultant)

  • The number of multiple insecticide resistant RLEM populations is increasing.

  • Test suspected resistant populations.

  • Only apply insecticides when needed and rotate chemistry groups.

  • Diafenthiuron is the only foliar applied insecticide that will control resistant RLEM.

  • Seed dressings are a good option.

  • Utilise non-chemical methods for controlling RLEM.

Red legged earth mites (RLEM) that have developed resistance to organophosphates and synthetic pyrethroids are becoming more common in broadacre farming in WA. Therefore, the industry will need to look at alternative RLEM control options than spraying insecticides.


Contract Rates & the Rising Cost of Machinery

Ben Curtis (Farm Management Consultant)

  • Costs of owning and operating machinery have risen.

  • Higher operating costs mean that contracting costs have risen by up to 20% in the last couple of years.

  • It is important to understand all of the costs in order to calculate appropriate contracting rates.

Escalating expenses of machinery, interest rates, fuel prices, wages, and business administration are contributing to higher ownership costs for farmers and contractors. In order to maintain a reasonable level of profitability, it is inevitable that this will lead to higher contract rate.


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