NSW Premier Gladys Berejiklian announced an additional $500 million in emergency funding to help drought-affected farmers on Monday. The announcement came after the government has been criticised, including at last week’s NSW Farmers Annual Conference in Sydney, for not doing enough.

With 99% of the state now in drought, the new support measures respond to the compounding effects of drought and their impact on people, business and communities, and builds on the existing NSW Government Drought Strategy, taking the overall drought response to $1.1 billion.

The Emergency Relief Package includes $190 million for the introduction of transport subsidies of up to $20,000 to help cover the cost of transporting fodder and water. Transport subsidies will be back-dated for expenses incurred since January.

The NSW Government has waived Local Land Services rates, fixed water charges and class-one agricultural vehicle registration costs.

NSW’s Farm Innovation Fund — which helps farmers improve their infrastructure to better deal with weather fluctuations — has also been boosted by $150 million as part of the package. The Premier said the additional funding
would help farmers who had faced an “unforgivably dry winter”.

Deputy Premier and Minister for Regional NSW John Barilaro said the package would assist farmers who had been forced to source fodder from interstate as local supplies diminished during a drier than expected winter. The NSW Farmers’ Association welcomed the “generous” package but stressed the importance of it being easily accessible.
Shooters Fishers and Farmers Party Member for Orange, Philip Donato MP responded to the announcement saying:

“Well, it’s about bloody time. I have been calling on this National Liberal Government all year to introduce freight subsidies for our struggling farmers who are enduring the worst drought this century. “It’s better late than never. Thank goodness they are offering up to $20,000 in 50% freight subsidies for each eligible farming business for transport of fodder, water and stock.

As part of the emergency funding, farmers will also be eligible for waivers on Local Land Services annual rates, fixed charges on water licences, registration costs for class-one agricultural vehicles, and interest on existing Farm Innovation Fund loans.

The package also includes funding for counselling and mental health services, drought-related road upgrades and animal welfare and stock disposal. The NSW Rural Assistance Authority will begin processing applications from Monday.

Below average rainfall since April 2017 has been exacerbated by warm, dry weather, according to the Bureau of Meteorology. September 2017 was the driest September on record. The three-month outlook to October does not look much better for farmers, with more warm and dry conditions predicted. Parts of NSW already experience less than one per cent soil moisture content. (Sources: ABC Rural, News.com.au and own reporting)

With all three centres in operation for the last sale of the season 31,784 bales were on offer. Some of the heat left the market on the back of the larger offering (compared to recent sales) and the notable gains made in recent weeks. The correction left the NRI 22 cents cheaper, closing at 2056, however despite the reduction, the NRI rose 489 cents (31%) for the season, which is the largest seasonal increase since 2011.

The finer microns were the hardest hit, resulting in 18.5 micron and finer generally falling by 20-40 cents. 19.5 to 20 microns were less affected, closing 10-20 cents easier, while a limited offering of 21 micron and broader managed to post increases of 5-10 cents, pushing the 21 MPG further into record territory.

The crossbred sector lost 5-20 cents, with 30 micron and broader less affected, while the limited supply of oddments was also slightly easier.

43,232 bales are rostered for the first sale of the 2018/19 season (as sellers wanting to sell into the new financial year enter the market).
Source: AWEX

The unprecedented rise of the Australian Wool Market has continued in Week 47. 30,053 bales were put before the trade this week and despite the offering again consisting of many lower yielding, lesser style wools, the market continued its bullish trend, as buyers continued their aggressive approach, perhaps due to concern over upcoming supply. Merino wools received strong support with all types and descriptions posting solid gains. 17.0 micron all the way through to 22.0 micron, generally sold at levels 40-80 cents above those achieved at the previous sale.

The NRI was already sitting at an all-time high, after considerable rises over the previous few sales, this week it added a further 38 cents, pushing it to a new record of 2033 cents. The NRI has now added an impressive 453 cents Y.O.Y, an increase of 29%, while it has gained 54% or 712 cents on the past 2 years. Another point worth noting, the Individual Micron Price Guides (MPG) for 17.5 all the way through to 22.0 micron, are all sitting at previously unseen levels.

Source: AWEX

On the back of supply concerns, the Wool market rose for the third consecutive week despite the selection consisting of a large number of poorer style wools.

On the first day of selling aggressive buying pushed prices higher and as a result the NRI rose by 23 cents, finishing the day at 1,908 cents (one cent off the previous record set in February). On the second day of selling, buyers became more selective in their merino purchases, pushing prices for that sector down, however the NRI still managed a 4-cent rise, due to the steep rise in the crossbred sector.

The skirtings market managed rises of 20-40 cents, low VM lots and those with favourable AM results recorded the largest gains. The crossbred sector also continued its upward trend, posting its fourth consecutive weekly increase, with significant gains pushing some MPG’s into record territory.

The oddment market rose for the fifth consecutive trading week. All types and descriptions generally sold at levels 5-10 cents above those achieved at the previous sale.

Source:AWEX

Aussie farmers struggling to keep on top of pests and weeds will have access to a wider range of chemicals thanks to a $1.78 million Coalition Government investment. Minister for Agriculture and Water Resources David Littleproud said the third round of the Agvet Chemicals Grants Program would deliver 26 grants to address a range of priority uses.

“We need to give farmers the tools to stay ahead of the game and do what they do best, farm,” the Minister said. “This round will unlock access to a range of chemicals which include applications for fodder beets in the dairy industry, mushrooms, green tea, quinoa and papaya.”

“These include Targo to manage mites in cocoa crops, Sero-X to manage mirids in lucerne crops, Vivado to manage cobwebs in mushrooms and Amistar to manage leaf blight in sweet corn.”

“The previous two rounds of the program awarded 100 grants to RDC applicants totalling $4.11 million, and have already resulted in improved chemical access.”

“This includes an effective treatment of annual rye grass in chickpeas, lupins and peas, a fungicide to prevent root rot in tomatoes and a growth regulator for use in our mango industry.”

For more information, visit agriculture.gov.au/ag-farm-food/ag-vetchemicals/improved-accessagvetchemicals/agvetassistance-grants.

Prices across the entire merino spectrum suffered corrections, with reductions of 20- 30 cents common for the week. The main exception was 22.0 micron which managed small increases as well as the superfine end which continued to be erratic on a limited offering. By the end of the sale the Northern Region Indicator had shed 15 cents to close the week at 1,837 cents.

Although all types and descriptions lost ground, it was lots possessing high midbreaks that suffered the greatest reductions, while those with low midbreaks recorded very little change.

The skirting market performed slightly better with prices generally reduced by 10-20 cents (wools containing less than 3.0% vm and those with excellent AM results were least affected). The crossbred & oddment markets bucked the trend with rises of 10- 30 cents common.

No sales will be held next week due to the annual Easter recess. Sales resume in Week 41 with a current forecast of 48,809 bales rostered.

Source:AWEX