The Farmers Club Newsletter

Monday’s thinking and trends for the 18th of September 2023

By Dwain Duxson

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Right to repair

Our roads are an ongoing battleground and have really deteriorated in the last 5 years. I don't have to tell you guys that. So much so that I think some are beyond repair. I think we need to rethink our roads and, in many cases, start all over again because patching up isn't working. That's a mighty big and costly undertaking, I know. Lately, I hear Farmers taking road repairs into their own hands and fixing them themselves. I fully understand why. One Farmer was telling me that Trucks wouldn't come to his Central NSW Property last year to pick up his Grain at Harvest because they deemed the roads too bad. See below one Farm repairing one of the roads that boundary their property.

Are some Family Farming operations getting too big?

I love how one story leads to another with some feedback from readers. Yesterday, we wrote about how some Agribusinesses with price tags in the hundreds of millions of dollars become nearly unsaleable domestically. One Farmer said this morning that some of these Family Farms are getting so big that they might find themselves in the same boat. Maybe, but most farms put up for sale usually sell. Unlike the businesses we wrote about yesterday, Farms have a Land component, which is seen as a bloody good investment.

Long term thinking

The Ram and Bull sales haven't been the disasters some predicted. I mean, there have been a few more pass-ins than normal, and averages are down a bit from the record highs of last year. It just goes to prove that many in the commercial Livestock game are thinking long-term and bidding up, knowing that good times will be back again. They are backing their industry that has served them well in the past and looking beyond the current price pain that is out there. Stud Breeders who invest in genetics, spend countless dollars collecting data and work hard putting on-Farm Auctions together are grateful that their clients are taking the optimistic view.

Frost, now a major uncontrollable

A couple of Grain Farmers I spoke to today are saying there is a bit more Frosting around than we think. I know in WA, they had a widespread Frost about 10 days ago, and there is a bit in the Northern Riverina. We talked about the uncontrollables in Ag, things like the weather, prices, Markets etc. And I know Frost is part of the weather, but it's more prevalent than it used to be as we breed shorter season Grain varieties and sow earlier than we used to. I can't remember the old Olympic Wheat getting Frosted. Correct me if I'm wrong.

End of message.

Dwain Duxson

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