CANOLA crops couldn't be in a better state as the Riverina heads into spring with landholders anticipating prices as high as $850 a tonne at the farm gate.
Traditionally canola has been considered an integral part of the winter cropping rotation in this area and prices historically haven't always been buoyant.
At Marrar Ben Langtry has planted canola, along with other winter crops including, wheat, barley, lupins and vetch at the property called "Marrarvale."
In comparing prices to last year he said there was a vast increase.
"Canola is looking fantastic, and the prices are skyrocketing," he said.
"This is huge and it will blow all of the other commodities we grow out of the water," he said.
Good seasonal conditions have allowed the "picture perfect" crop to thrive this season.
Rainfall amounting to 5mm throughout the weekend came after 13mm early last week to further boost winter crops.
On Monday canola prices were quoted at $912.70 at port and there were indications values could go higher closer to harvest.
IN OTHER NEWS:
The price for canola has helped to strengthen the NAB Rural Commodities Index to its highest level in 11 years.
NAB's August Rural Commodities Wrap shows Australian agriculture continues to be the good news story of 2021, with cattle prices reaching unprecedented levels and a record grain harvest clearly in frame.
NAB Agribusiness economist, Phin Ziebell, said an ongoing rally in global markets had seen grain prices jump again this month.
"Canola prices are looking particularly impressive, supported by a big rally in global oil seeds, due partly to labour shortages in palm oil plantations in COVID-hit Malaysia and extreme heat in Canada," Mr Ziebell said.
"We now see Australian wheat prices around the $350/tonne mark in the December quarter, having previously expected prices in the low $300/t range."
Mr Ziebell, said while the outlook was largely positive, it was important to factor in the economic implications of extended lockdowns as a result of COVID-19 Delta variant outbreaks.
Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content:
- Bookmark www.irrigator.com.au
- Make sure you are signed up for our breaking and regular headlines newsletters
- Follow us on Twitter
- Follow us on Instagram
- Follow us on Google News