South Perth, Western Australia
April 15, 2005
New research and market opportunities are needed to find an
alternative use for the current oversupply of feed grain
according to a new report from the
Department of Agriculture,
Western Australia.
The report, Feed Grain – Current and Future
Demand in Western Australia, examines the supply and
potential demand for key feed grains and explores possible
options to take advantage of future market and new industry
opportunities.
Department
market analyst Anne Wilkins said WA’s domestic livestock
industry was oversupplied with feed grain.
Ms Wilkins
said even with forecast increases in livestock numbers over the
next five years there would still be 10 times more feed grain
produced than the forecast demand.
The
Department’s analysis showed that feed grain production must be
economically competitive for grain growers and this could be
achieved through pricing (premiums) or significant yield
advantages.
“Growers in
Western Australia could produce an extra one to two million
tonnes of feed grain at short notice when price and risk
considerations are favourable for feed grain production,” Ms
Wilkins said.
“However, it
is unlikely that the local livestock industry would expand as
quickly. Therefore it is demand rather than supply that
dictates future feed grain production expansion.”
Ms Wilkins
said technology needed to be developed to rapidly assess the
nutritional value of grain for different livestock classes and
enterprises if price premiums for feed quality were going to be
paid to provide incentives for growers.
“The current
breeding programs are focused on improved yield, food quality
and disease resistance. Predominantly, feed grain is down
graded human consumption grain,” she said.
“Biotechnology companies are also moving into plant breeding,
with one company planning to release a feed wheat this year.
“The success
of these new varieties is dependent on their adaptation into
niche production areas where existing milling varieties are not
well adapted. This could include tolerance to salt,
waterlogging, boron, drought, frost or aluminum.”
Ms Wilkins the Department’s report collated
information and data on 20 different grain types. Each grain is
analysed by a world, Australian and State perspective, market
development, demand, agronomic performance and grower returns.
Ms Wilkins believes the report is an excellent
resource for any researcher or student who needs quick and easy
access to a wide range of information and data which is compiled
in one document.
The report is available on CD-Rom for $33 from
the Department of
Agriculture’s South Perth office. |