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Australia Wheat Yield Lagging

01 July 2011

AUSTRALIA - Australia is slipping behind the rest of the world in wheat yields.

A state of the industry report by Grain Growers Limited released today said Australian wheat production had been increasing but yields were not keeping up with the global average.

That's despite more than $100 million being spent by the Grains Research and Development Corporation each year on research.

"Australian wheat yields have been increasing steadily since the early 1900s but have shown signs of slowing since the mid-1980s," the GGL report said.

"Volatility of wheat yields appears to have been increasing at the same time that yield increases have shown signs of slowing.

"However, world average yields appear to be increasing at a much faster pace than Australian wheat yields."

The state of the industry report is the first since deregulation of the Australian wheat industry, reports Weekly Times Now.

It was prepared by GGL with the help of ACIL Tasman.

The report said increasing foreign ownership of Australian grain companies would provide new capital and integrate Australia into global trading networks but there was a risk incentives to increase the demand for local wheat might decline.

It said factors likely to increase Australian grain producers' profitability included differentiating their wheat from that of other orgins.

This included developing marketing and technical assistance for its customers, along with breeding new varieties with unique characteristics.

TheCropSite News Desk

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