Regional Round-up is a monthly newsletter providing an overview into the environmental and business conditions affecting farmers and rural businesses in the Goulburn Valley and North East Victoria.

Dairy

The cooler weather has meant milk volume is higher than for the same period last year, however milk prices remain unchanged since August.
Regular weekly rainfalls during October have assisted pasture growth in some areas and as a result, considerable silage and hay yield is expected. Clover and ryegrass are doing exceptionally well in the valleys. Notably, areas north of the Hume Highway received significantly less rain and consequently pastures are drying off rapidly.
There has been intermittent rain on some paddocks of cut hay and this will delay baling and likely downgrade quality.
Canadian owned dairy group, Saputo, has announced it will purchase Murray Goulburn Dairy, with a preference to purchase the entire suite of Murray Goulburn Dairy products and associated assets. Increases to milk prices are forecast with the sale, however local dairy farmers view this with cautious optimism. Full financial realisation of the transaction will not be achieved until May 2018, providing all relevant parties are agreeable.

Cropping/Sheep

The seasonal preparations for harvesting are in progress. Cooler than average spring weather has meant cereal crops heads will fill well, however overall, yield and quality will vary. Crop yield will vary significantly by area, district and even neighbouring farms. This is a reflection of rainfall and weather variability across the service area.
Canola crops are expected to finish well and preparations for windrowing in November are in progress.
Campaspe farmers are confident of a good cropping season. This is primarily due to cooler temperatures in the region and a lack of rain has not diminished their expectations. This goes against the trend for the Goulburn Valley which is in need of rain to ensure strong yields.
Sheep and wool prices remain steady and strong.

Beef

Prices reflect the below average rainfall and producers have been starting to reduce stocking rates. There was a slight rise at store sales in Wagga and Pakenham later in the month with the expectation of some rainfall events.
Lighter yearling steer prices in the last month at Shepparton saleyards reflect a lack of confidence in the market, however overall prices remain reasonably strong, though slightly lower than last month.

Irrigation

There was a steady decline in temporary water prices (around 10%) through this month, however the permanent price has increased around the same amount.
Murray irrigation water remains just under 10% more valuable than the Goulburn system.