FARMERS are not the only ones celebrating recent rain: agribusiness groups are also cheering, as agribusiness supply groups earlier this autumn and winter suffered from poor fertiliser sales, as farmers held off on buying chemicals and other farm inputs.
Wheat marketer AWB, for instance, said its rural supplies business, Landmark, had experienced improved fertiliser sales over the past six weeks thanks to better seasonal conditions and Landmark's direct competitor, Elders, has also reported a strong finish to June 30 in terms of fertiliser sales.
Rabobank has told The Australian Financial Review that widespread rainfall in June-July has improved the outlook for grains in 2009-10. "Western Australia, the largest-producing state, has now received good falls across most regions," analysts at the rural bank said.
It noted that one key risk to this year's crop was the potential impact on yields from lower use of fertiliser and chemicals, in some regions.
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