The second of four industry expert updates from the summer 2022 edition of SA Farmer. Mallala dryland farmer, John Lush, talks rainfall, financial returns, crop quality and input costs.
What impact did recent rainfall have on crops?
Most of our crops are still green, so they are still benefiting from the rain. We reckon the 80mm we had put another half a tonne on top of the canola yield.
At this stage it’s all good, but in a couple weeks the crops will be ripening off and we’ll want it to switch off. That might be a hard call this year.
Most of the hay in the area that’s been cut down isn’t too good. I don’t think there will be much good-quality hay around this year, but apart from that things are looking really good.
I’ve been at Mallala for 55 years, and these are probably the best crops I’ve seen in that 55-year period.
Will that result in higher financial returns for growers?
That’s going to generate a huge income from the ag sector that will flow through the economy, and that’s pretty important really.
We’re going to underpin the economy and create employment. When most farmers make a lot of money, they spend a lot of money, and that will be good for the local hardware store and other businesses.
Are you confident in the volume and quality of crops this season?
The volume is going to be enormous, and the quality should be alright provided the rain switches off at the right time. The size of our canola seed and wheat grains is going to be huge.
A lot will depend on how much rain we get during the summer harvest period.
Is there optimism demand and high prices for grain will hold?
If you’re looking at what’s happening around the world, I can’t see anything that’s going to force prices down.
With challenges in Ukraine, droughts around the world, and floods, you would expect demand to only increase.
Do you expect input costs to pose challenges in 2023?
It’s going to be a challenge. Fertiliser, fuel and electricity are all going through the roof.
That’s ok as long as our commodity prices hold up, but for some reason if the prices go down we’ll be in a fair bit of trouble, because our costs have just gone through the roof.
There’s 200 or 250 per cent increases on a lot of the costs we’re paying.
We’re learning to buy fertiliser and everything else nearly 12 months ahead, to make sure we get it.
We bought four new tractor tyres the other day, and they came from four different states.
You’ve got to do a lot of forward planning at the moment to make sure you can keep things growing.
Is overseas shipping of grain still difficult?
I think that’s getting harder too, and shipping costs have gone through the roof. It’s not just us alone though, it’s the whole world.
That should hopefully keep everything in balance.
Any advice for fellow farmers in the area?
Be prepared for shortfalls in everything. If you think you might need something, order it now.
If that’s spare parts, tyres or a new tractor, you’ve got to order it 12 months ahead to get it.
