Ag Newsletter - 21 July 2026
Livestock Markets:
Wagga Cattle Numbers Lift as Lighter Feeders Undergo Correction - At the Wagga cattle sale on July 20, 2026, yardings rose moderately to 3,640 head as paddocks began to dry out following recent winter fronts. The market experienced a highly selective trend; feedlots showed an intense preference for vendor-bred runs of Angus steers and heifers, paying premiums for clear lines. However, secondary lines and lighter feeder configurations lost ground, with light-weight feeder heifers dropping 16¢/kg.
Domestic trade buyers operated with heavy caution, resulting in a general easing of 20¢ to 25¢/kg for trade steers and heifers. On the export side, competition for heavy bullocks proved patchy, prompting a cheaper trend that pulled the category down by 33¢ to average 441¢/kg. Conversely, heavy cows remained remarkably firm, processing between 390¢ and 432¢/kg, while lighter cows under 520kg dropped 13¢/kg. Source: Beef Central Saleyard Reports
Fertiliser:
Urea Price Plunge Exposes Excluded Independent Ag Resellers to Heavy Losses - A sharp drop in global urea prices—tumbling from a mid-year peak of $1,450 a tonne down to approximately $800 a tonne—has delivered visual relief to farmers but triggered severe commercial financial pain for independent regional agricultural suppliers. The Australian Fertiliser Services Association (AFSA) revealed that while the Federal Government underwrote three major corporate importers to secure domestic fertilizer tonnage during the height of the Middle East shipping conflict, smaller independent "mum-and-dad" retail operations were excluded.
Independent resellers who followed early government guidance to secure physical inventory at record high prices are now left holding high-cost stock they cannot move competitively. Excluded regional suppliers stand to lose hundreds of dollars per tonne as they try to compete alongside taxpayer-shielded entities, sparking sharp political criticism that the underwriting mechanism has distorted open market competition. Source: Dairy News Australia / AFSA Briefing
Sheep Industry:
Confidence Strengthens in Australia's Sheep Industry - The latest Sheep Producers Intentions Survey (SPIS), jointly conducted by Meat & Livestock Australia (MLA) and Australian Wool Innovation (AWI), highlights a major shift in industry optimism. According to the May 2026 results, confidence across the Australian sheep sector is rebounding strongly, supported by widespread southern rainfall, tight national supply, and historically strong sheepmeat and wool prices.
Key takeaways from the report include:
Strong Market Sentiment: A massive 86% of producers reported a positive outlook for sheepmeat, driving net sentiment to +84. Confidence in the wool sector also surged, improving by 80 points year-on-year.
Focus on Rebuilding: Moving away from last year's defensive destocking strategies, 37% of producers now intend to increase their breeding ewe numbers, while only 28% plan a reduction.
Ongoing Challenges: Despite the overwhelmingly positive market signals, producers remain practical about ongoing hurdles; weather conditions, feed, input costs, and labor availability continue to heavily shape on-farm decision-making.
MLA Senior Market Information Analyst Emiliano Diaz noted that this widespread optimism is consistent across states and flock sizes, marking a clear shift from risk management back to a longer-term production mindset.
Read the full release and access the survey data here https://www.mla.com.au/news-and-events/industry-news/confidence-strengthens-in-australias-sheep-industry-as-producers-look-to-rebuild-flocks/
Farm Business Management:
GRDC Farm Business Updates Target Operating Expenditure and Asset Risk - The Grains Research and Development Corporation (GRDC) has announced its upcoming July Farm Business Updates, scheduled to hit key northern broad acre hubs including Pittsworth, Goondiwindi, and Narrabri. The forums are specifically designed to help grain growers and agricultural advisers sharpen their commercial decision-making during high-pressure cycles.
A core component of the program focuses heavily on machinery replacement economics, managing operational expenditure (OpEx), and calculating the true return on investment (ROI) for autonomous optical spot sprayers. Experts will also deliver behavioural insights from the GRDC RiskWi$e project to help growers overcome common psychological biases when making multi-million dollar infrastructure and land asset decisions. Source: GRDC GroundCover
Industry Events:
Record Crowds Descend on 2026 Cotton Grower of the Year Field Day - Showcasing the strength and community interest in modern family farming, a record crowd of more than 300 growers, agronomists, and industry representatives gathered at Spring Ridge, NSW, for the 2026 Cotton Grower of the Year Field Day. The event was hosted by the Brownhill family of Merrilong Agricultural Company, the reigning 2025 Bayer Cotton Growers of the Year.
Cotton Australia CEO Adam Kay noted that the field day was a huge success for promoting operational excellence, focusing heavily on knowledge-sharing around advanced dryland crop parameters, soil moisture tracking, and input efficiency. Organizers highlighted that a standout feature of the massive turnout was the high volume of young people and early-career professionals in attendance, signaling positive momentum for the sector's long-term talent pipeline. Source: Cotton Australia News
