Poor climate conditions in grain-growing regions have contributed to the gross value of farm production being forecast to reach $59 billion in 2017-18, down seven per cent from a record of $63 billion in 2016-17, according to the ABARES report – Agricultural commodities, December quarter 2017.
Cattle prices are expected to ease during 2018 before stabilising at a level higher than the five-year average, according to Rural Bank’s new Australian Cattle Annual Review.
The impact of seasonal conditions on restocker interest has been the major driver of Australian cattle prices over the past 12 months, and is continuing to make forecasts difficult.
Record wood product exports worth $3.4 billion and a record log harvest of 33 million cubic metres valued at $2.5 billion were the highlights of a great year for Australia’s forestry sector in 2016-17.
A report released by the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES) highlights that Australia’s forestry sector is continuing to enjoy some of the best conditions in its history.
The NAB Rural Commodities Index rose 2.1 per cent in October 2017, the first increase since May 2017, driven largely by an increase in cattle prices.
Sustained dry weather conditions have significantly cut Australian winter crop production, with the upcoming grain harvest now expected to come in 41 per cent below 2016/17, and well below the five-year average, according to Rabobank’s latest crop forecast.
The European wine grape crop has been hit hard by adverse weather, and with global inventories already tight, the wine available for consumption around the world will be at its lowest point in decades, according to Rabobank’s latest Global Wine Quarterly report.