The severe dry conditions affecting grain growing districts are expected to rob crops of potential and are threatening to put an unwelcome dent in the nation's grain production.
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In parts of NSW some farmers have watched on as some of their grain crops, in need of moisture, have turned blue.
NSW has just registered its lowest rainfall, its warmest daytime temperatures and its coldest nights for July in 15 years.
A similar story was true south of the border, with Victoria marking its second-driest start to winter in more than a century of records. June-July rainfall totals are the lowest for any year except 1982, backing up its record dry June.
“A majority of NSW is very dry,” NSW Farmers president Derek Schoen said. He expected the dry conditions to potentially have quite a severe impact on crops.
“So we'll be looking at some crops that will fail completely, other crops were not even planted because they didn't have enough rainfall. And then you'll have other crops that will be severely limited in their potential.
“Yields are going to be below average, and in some areas they're going to be grossly below average, and then we also have the lower prices playing into that as well.
“So it’s going to be a tight year return-wise for a lot of producers.”
Australia as a whole experienced its warmest July on record in terms of maximum temperatures and the driest July in a decade.
After record national grain production last year put a floor under returns to farmers, despite low prices, the benefits of massive production won't be repeated this year.
The dry conditions recently caused NAB to wind back its national wheat crop forecast, to 23.3 million tonnes.
And although the final month of winter is about to begin, reasonable rainfall is not on the horizon.
Victorian Farmers Federation vice-president Brett Hosking, who farms at Quambatook, said crops in his area were growing well but farmers were looking for rain to “set up the spring”.
“As we move into August the days get that bit longer, the days are a little bit warmer, and the plants are a bit bigger, so their requirement for water increases on a daily basis,” he said.
“Given that we've had a particularly dry winter, we hope that doesn't mean it's going to be followed up by a particularly dry spring. That's the concern.”
National Farmers Federation CEO Tony Mahar said: "NSW, WA and parts of Victoria are facing dry conditions and looking for some rain for winter cropping and pastures. It's getting to the point where some parts of Australia are really crying out for a bit of rain to kick their winter cereal and oilseed crops along."