Farmer optimism rising in WA as grain growers close in on 20Mt harvest: Rabobank

A better-than-expected harvest and positive commodity prices have lifted farmers’ spirits in WA, where rising sentiment has bucked the national trend in the final quarter of 2024.

Appetite for property purchase was also the highest in the nation in WA, according to Rabobank’s latest rural confidence survey.

Some 23 per cent of WA producers surveyed indicated an interest in buying farmland in the year ahead.

“In terms of overall confidence levels, while still in net negative territory … WA farm sentiment was tracking well above the lows reported throughout most of the past three years,” the report said.

“Net WA rural confidence had crept up to -6 per cent, from -8 per cent in the previous survey.”

Rabobank WA state manager Steve Kelly said a “far-better-than-expected harvest” had seen a “reset” in farmer confidence after a dry start to the season.

But he said late rain in November had “taken the edge off” for some grain growers, impacting quality.

“These areas had been heading for a good harvest prior to this rain, but unfortunately the late rainfall has caused damage to some crops,” Mr Kelly said.

“That said, it will at least provide soil moisture for them going into next year.”

The survey, completed last month, found positive commodity prices to be the most significant driver of optimism among WA farmers, cited by 31 per cent.

“In particular, canola prices have been at high levels, especially when considering oil bonuses,’” Mr Kelly said.

“Cattle prices have also been holding steady this year at a lot higher levels than last year, despite record cattle production being seen in Australia.

“Lamb prices have lifted and are significantly higher than they were seven months ago, when things were feeling dire.

“This is providing some support for lamb producers as many are now reviewing mating numbers and, in some cases, altering enterprise mix in response to the coming end to the live export trade.”

Government intervention was once again the leading cause for pessimism in WA, cited by 48 per cent, while 22 per cent specifically cited Federal Labor’s planned 2028 live sheep export ban.