Dear Subscribers,
Thanks very much for subscribing to Farmanco Facts.
The last edition of Farmanco Facts for 2024, will be in your Inbox or (if posted) on your kitchen counter.
Thanks also to Farmanco Consultants who commit to contributing every month.
Regards, Farmanco Facts Team
Coming in the New Year will be our annual Agribusiness Edition, distributed free to the ag industry.
Our Consulting team chooses articles from the previous year that they think most interesting and/or relevant to their agribusiness colleagues.
Mailed out and shared on Socials.
Farmanco Facts December newsletter includes our Grain Budget Prices 2025 for Western Australia, New South Wales, Victoria and South Australia.
Farmanco Facts can be subscribed to via our website store, by calling our Rivervale (WA) office (08) 9295 0940 or emailing subscribe@farmanco.com.au.
Contact your nearest Farmanco Consultant if you’re looking to engage a professional adviser for your business and your annual production data will be included in the annual benchmarking series.
Harvesting while Planning for 2025
Mark Lawrence (Agronomist)
Early planning is as important as ever for 2025.
Know your cost ratios, make every dollar count, and question advice given.
There are software and consultants available to help with planning for the 2025 season.
The top 25% of Farmanco clients have lower five-year average variable cropping costs than average clients.
We are out helping growers with late agronomy decisions even as harvesters roll into paddocks. At the same time, we have been busily helping our clients plan for next year’s rotation.
Grain Prices vs Costs of Production
Rob Sands (Management Consultant)
Prices for wheat and barley have been greater than their cost of production in six years out of the last 10.
Comparing the previous five-year period (2014-2018) to the current five-year period (2019-2023):
Operating surplus for the whole business has reduced from 18% to 14%.
Wheat margins have declined from $27/t (8%) down to $16/t (6%).
Canola margins have increased from $25/t (4%) up to $127/t (13%).
YIYO projections show wheat margins at $20/t (5%) and canola margins at $50/t (7%).
Most businesses will need a margin of at least 10% to cover their finance and lease costs.
Create a strategy to increase your margins.
The Farmanco Profit Series tracks a large number of business measures over time. In the last couple of years, we have been nervous about the increasing farm costs across our client base.
Soil Wetters & Soil Moisture Retention Agents
Chris Robinson (Agronomist)
Products vary in their use pattern and performance.
Application with high water rates is best.
Variable rate application often improves the cost-effectiveness and results.
Get advice from your agronomist on which product is best for your system.
Increasingly, soil moisture retention agents are being used to establish crops in marginal soil moisture situations, resulting from either non-wetting or insufficient rainfall.
Business Review Season
David Ward (Management Consultant)
It’s time to start thinking about your business strategies for the coming year.
Business planning is an essential component of your management.
Benchmarking yourself to others can provide an excellent guide whilst removing some of the emotion of decisions.
Our Profit Series benchmarking is available to all, either through your Farmanco Management Consultant or via the Aglytica Portal.
Before or after your (well-earned) break, you need to carefully plan your business strategies for the coming year and have some idea as to the strategies for the years ahead.
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