Australian cotton growers are set to put up their largest complete crop on file due to a near-perfect season in Queensland’s south west
Key factors:
- This yr’s cotton crop is predicted to come back in at 5.5 million bales price $3.9 billion
- Good yields and high-quality crops have been reported in south-west Queensland and northern New South Wales
- Plantings subsequent season are anticipated to be down as a consequence of a scarcity of rain in 2023
The sector is predicted to supply about 5.5 million bales price roughly $3.9 billion, together with the manufacturing of lint and cotton seed.
Cotton Australia normal supervisor Michael Murray stated areas together with Dirranbandi and St George in Queensland, in addition to the Macquarie Valley and the Gwydir in New South Wales, had seen good yields and good high quality.
Mr Murray stated the bumper season had renewed confidence within the trade.
“We’re seeing funding again into new equipment. Fairly just a few new pickers have been offered this yr,” he stated.
“Not solely is it good for individuals financially, however it’s additionally good for them mentally — it simply modifications the entire angle of the trade.”
‘Close to good season’
Dirranbandi cotton grower Jamie Deshon stated it was the primary time since 2012 that he had a full plant, placing in additional than 1,000 hectares of cotton.
He stated whereas there had been little rain this yr, water storages boosted by current flooding had allowed farmers to have a fantastic season.
“I feel we had six main floods come down the Balonne River and I feel everybody within the district began with full water, which is nice,” Mr Deshon stated.
“Yield and high quality this yr have been nice — it has been close to the right season for it.”
The bumper harvest was having an enormous flow-on impact on regional communities.
Balonne Shire Mayor Samantha O’Toole stated native companies in south-west Queensland have been having a “cracklingly busy” interval.
“I am listening to nice suggestions from a few of the meals shops simply concerning the additional meals and takeaways,” she stated.
No rain and water buybacks may have an effect on subsequent crop
However good occasions don’t final endlessly with Councillor O’Toole anticipating a discount in subsequent yr’s cotton crop as a consequence of a scarcity of rain to date this yr.
“However I feel most individuals are carrying ahead some water for subsequent season, so we should always have an affordable quantity of cotton getting in once more subsequent yr,” she stated.
She stated the federal authorities’s voluntary buyback of water entitlements within the Murray-Darling Basin may additionally doubtlessly have an effect on subsequent season’s cotton crop.
The voluntary tender course of to purchase again greater than 49 gigalitres of water throughout six catchment areas, together with the Condamine-Balonne system, ended final week.
“Each gigalitre that is recovered from the system reduces the meals and fibre that is grown,” Councillor O’Toole stated.
“We hope the federal government takes into consideration the socio-economic influence of water restoration once they do the water buying.”
Sturdy costs
Cotton Australia stated demand for the commodity remained robust, with bales going for $600 to $650 a bale.
Mr Murray stated South-East Asia was nonetheless a robust buyer for Australian cotton though the trade had but to see a pick-up in demand from China.
“The most important single nation is Vietnam; it is working at round 30 to 40 per cent of the market this yr,” he stated.
“Türkiye has been shopping for just a little little bit of cotton over the previous couple of seasons.
“What we’ve got seen is much more range of our market in comparison with say six, seven years in the past the place it was completely dominated by China.”
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