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The Forum > Article Comments > Some clouds on the rural landscape > Comments

Some clouds on the rural landscape : Comments

By Ben Rees, published 24/5/2006

An atmosphere of unreality pervades rural Australia in the face of some sobering economic statistics.

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This is a strange statement;
'This decline in real output is from ...and ... the ban on land clearing.'

Does that mean farmers need an ever increasing acreage to maintain output?
Posted by Taswegian, Wednesday, 24 May 2006 1:43:06 PM
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West Aussie farmers are starting to look concerned, with May almost over and hardly a drop of opening rains. Canola seed stays in the bin, because canola needs an early start with an accompanying 30 mils or so of downpour. Wheat can hold, even with a middle June start, but most graingrowers because of the ability now to put crops straight in with minimum tillage and the convenience of pre-emergence chemicals to kill weeds, many growers plant later maturing seed, when later planting calls for an earlier maturing backed seed.

Added to worries, is the lack of Howard and Costelloís lack of interest in the cockies, oldies apart from the benefit of pre-emergence chemicals, bush great grandads wistfully harking back to the days of countryman Black Jack McKewen, when townies complained of the feudal yoke calling the tune for the whole welfare of Australia.

But as our dear friends the Americans are flooding the Middle-East now with subsidised wheat as are the Brits, the Kanaks and the Europe-oes, it looks like us Aussie cockies now need to be looked after and subsidised, plainly similar to all the cockies now in the Western world. Rather than being friendly, letís say bugger all the other countries that canít afford to subsidise and let South Americans as well as Africans all stew in their own juice. Let us cockies now havea slice of Costelloís honey money-pot heís always skiting about, especially as heís now subsising the Queensland cane-growers, who may have a better future than wheat cockies when the black stuff runs out. Take note that sugar-cane now produces nearly all the power to turn both big and little wheels in Brazil.
Posted by bushbred, Wednesday, 24 May 2006 7:42:48 PM
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IT IS A PITY OZ FARMERS DID NOT CARE FOR THE WIDER COMMUNITY, THEN THEY MAY EXPECT A LITTLE SIMPATHY WHEN IN TROUBLE.

IT IS THEIR UNRESERVED SUPORT FOR THE REMOVAL OF ALL FORMS OF PROTECTION, NOT ONLY FROM THEIR OWN INDUSTRIES BUT MORE IMPORTANTLY FROM WORKERS AND MANUFACTURERS WHICH HAS LED TO BENS PROBLEM WITH BURGENING CAD. MANUFACTURING AND THE EMPLOYMENT PROVIDE BY IT, HAVE BEEN SENT OFF SHORE BY THE ONGING PUSH BY FREE MARKETERS TO ARRIVE HERE.

SORRY WA, I DOUBT YOU CAN MUSTER THE POLITICAL SUPPORT FOR ANY INTERVENTION, AND IT IS YOU AND YOUR LEADERSHIP WHO HAVE TAKEN YOU TO THIS PLACE...GET YOUR HOUSE IN ORDER, YOU WANTED A MARKET BASED SYSTEM , NOW YOU HAVE ONE.
Posted by VETRES, Friday, 26 May 2006 10:30:00 AM
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Ben,

can you explain why people are so keen to buy rural farm assets?

Is it a case of speculation - jumping on the gravy train - or are these serious farmers expecting to cover costs and make a profit?

with climate change becoming a reality, and mostly less rainsfall, this price growth seems to me to be counterintuitive, except in those parts of Northern Australia where they still get rain.
Posted by last word, Saturday, 27 May 2006 10:45:17 PM
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Last Word, I think farmers are chasing farming land for several resons.

1. huge available credit make credit easy to find.

2. as a result capital growth (capital inflation?) is rapid as the cycle esculates.

3. many are operating in loss making situations if cap growth not taken into acount, thus,

4 they see cap growth as part of the overall business, at least some profit in cap gain

5 bankers and accountants also recognise this

6 smaller, older operators, running at losses at the end of their farming careers find this a good time to exit.

Maybe Ben can give a better theoretical answer, perhaps some pain on the way, farm leadership oblivious to this and think they are responsible for a feeling in the bush that all is well.

some simply have their snouts in the trough!
Posted by VETRES, Wednesday, 31 May 2006 8:43:21 AM
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