Rabobank

International markets for wool and cotton have seen much volatility through the course of 2022 – with the lingering impacts of Covid and escalated geopolitical and economic uncertainty affecting the trade – and the year ahead could be equally turbulent, agribusiness banking specialist Rabobank says in a new industry podcast.

Australia’s farmers are heading towards the end of 2022 with signs of growing optimism, following a year where challenges around high input costs, excessive rainfall and biosecurity concerns had taken the edge off otherwise generally very positive seasonal conditions and commodity prices. The latest quarterly Rabobank Rural Confidence Survey, released on 14 December 2022, found sentiment was edging back up after four consecutive quarters of decline...

Australian consumers are seeing significant price increases across dairy products – based on the national Consumer Price Index (CPI) data – with milk prices having risen at the fastest rate since records began, according to a new report by agribusiness banking specialist Rabobank. In its Global Dairy Quarterly Q4 2022 – Walking the Tightrope into 2023, Rabobank says while the Australian consumer has shown resilience in the face of cost-of-living pressures, signs of dairy demand weakness are emerging as a willingness and ability to spend on discretionary items softens.

Animal protein producers and processors face an “inflection point” with a need to respond to structural changes in the market even with production levels and prices likely to remain elevated next year, according to a new report by agribusiness banking specialist Rabobank.

Amid extreme market volatility and record-high prices, fertilizer consumption suffered in 2022. According to a new Rabobank report, a recovery in consumption is possible in some regions in 2023, with fertilizer prices lowering and commodity prices at historically high levels.

The US – the world’s second-largest importer of beef after China – is likely to be looking for even more beef from global markets over the next three years, as its own domestic production declines, Rabobank says in a newly-released report. And – while Australia is among the major global beef exporters that could help fill the gap – its own supply constraints mean it will be challenged to find additional export volumes.

Australia is on track to harvest a near-record winter grain crop of 61.9 million tonnes, according to Rabobank’s 2022/23 Australian Winter Crop Forecast. But what will be a record for some farmers will be heartbreak for others, due to the impacts of excessive rainfall on grain volume, yield and quality in parts of the country.

Rabobank's Marcel van Doremaele said while assessment of damage was still in a very early phase, farmers would be dealing with a range of issues including damage to grain and horticulture crops, as well as pasture and feed. In addition, he said, there would be impacts on summer crop planting programs, disruptions to milking, as well as flooded sheds and damage to other farm infrastructure, machinery and access roads. "Added to this, there will be logistical concerns in relation to harvest and getting livestock to market,” he said.

Commodity markets are pondering the risk of a recession, especially in the EU-27+UK, where inflation and monetary tightening are combining with a looming winter energy crisis. A recession could weaken the demand side for a number of energy and luxury commodities.

Years of drought in northern New South Wales led Gunnedah region’s Sam Conway to establish an innovative ‘co-farming’ business model to reduce production risk for small to mid-sized broadacre farmers ... The Co-Farm model revolves around small to mid-sized “passive” landholders contributing their land into a joint venture, where operating expenses and profits are shared on a percentage basis.