Australian agricultural production forecast to fall amid dry winter: gov't report

CANBERRA, June 6 (Xinhua) -- The winter crop production in Australia is forecast to fall due to below-average rainfall for winter and spring.

The Australian Bureau of Agricultural and Resource Economics (ABARES) on Tuesday published the latest Australian Crop Report, forecasting total Australian winter crop production to fall by 34 percent to 44.9 million tonnes in 2023-24 following three consecutive record production years.

National wheat production is forecast to fall 34 percent, barley production by 30 percent, and canola production by 41 percent, with low rainfall across the country through autumn expected to continue into winter.

"Looking ahead, the development of an El Nino event is likely to result in below-average rainfall across eastern Australia during the winter cropping season," Jared Greenville, executive director of ABARES, said in a media release.

"We are also expected to see a positive Indian Ocean Dipole, which may suppress winter and spring rainfall over much of Australia and potentially exacerbate the drying effect of an El Nino event."

Despite the decline in production and weather events, Greenville said the national planting of winter crops in 2023-24 is set to remain historically high at 23.3 million hectares.

"On a more positive note, high crop prices, good seasons and record farm cash incomes over the last three years mean many growers will stay in a strong financial position despite the fall in production," he said.