The Grains Council of Australia (GCA) says this winter cereal season has proved to be extremely disappointing for grain producers through a large area of south eastern Australia.

GCA President, Keith Perrett, said the news from central and southern New South Wales, the Mallee and Western districts of Victoria and eastern South Australia was bad.

“The weather over the past few weeks could not have been worse for the harvest”, Mr Perrett said.

“Dry conditions during the growing season were already producing disappointing results, with producers reporting light yields. The quality of the crops that had grown appeared to be quite good, even though grain size had been affected, particularly by the dry finish to the season”, he said.

“Producers were looking towards depressed yields but acceptable quality – and then it rained at the worst time possible”.

“In many instances producers have been unable to strip meagre crops simply because their machinery has been unable to cope. We have had reports from Victoria of major machinery damage when the fronts on headers have been literally driven into the ground. We have to remember these machines are worth three or four hundred thousand dollars or more.”

“The late season rain has been combined with strong winds hitting standing grain so hard that some properties will not be able to harvest anything at all. AWB is forecasting a crop of 20 to 22 million tones, which is down on its initial estimate of 21 to 24 million tones”, Mr Perrett said.

“AWB has now been forced to create two new grades to accommodate the poor conditions in the south, by introducing high protein, high screenings (HPS) and feed quality, high screenings (FEDs) categories”, he said.

“This move by AWB reinforces the current benefits from the unique wheat export system we have in Australia. Many producers may not know that AWB International is bound under the Wheat Marketing Act to be the ‘buyer of last resort’ for producers – guaranteeing them a buyer for their wheat in times like these.”

“This provision can be a lifeline for producers in times of hardship, providing them with some income. Under a totally deregulated industry, producers would more than likely not find a market”, he said.

“This season is a sobering reminder that, while all farmers welcome rain, grain producers need it at the right time – rain at the wrong time can spoil a whole year’s work overnight”.