Different Clouds, Same Principles

Thank you for taking the time to read my “two bob’s worth”.

By its very nature, agriculture develops strong resilience in anyone associated with it. It also brings to light some very smart operators.

I reckon the seed of this resilience is the fact that people in agriculture are dependent on things over which they have little, if any, control. So, they need to be resilient and smart to move forward to take advantage of the environment of the day.

Reviewing my blogs of the past ten years, I have mentioned clouds plenty of times. Some of those clouds were clouds of dust and smoke during 2019, others were rain clouds bringing six decent seasons in a row in the early 2020’s. Last year, there were massive snow clouds in our district. Chuck in a cloud or two of Covid-19, and what more could there be?

Right now, when I look up to the sky, it seems all those rain clouds have shot through, at least for now. I guess after so many good seasons, it is our turn to feel a dry pinch again.

Worryingly, the most noticeable clouds at the moment are the clouds of war and economic uncertainty caused by the associated disruption of global oil supply and stubborn interest rates.

Don’t worry, I am not going to give a lecture about the substandard fuel supply framework here in Australia. Others can deliver that better than I.

I will say, however, that all these different clouds can be viewed with the same lens, the lens of resilience and of smarts.

Combine resilience and smart thinking in uncertain times, and you’re likely to come back to basics. I believe that while we may not be able personally to change the nature of those clouds in the first instance, we have the proven ability to adapt to the current storm. And those in ag are among the most adept to do so.

Even with all that’s going on, it is certainly not all doom and gloom. New England is not a major cropping region, so the diesel and fertiliser supply issues may be less than in other areas, even if only just. Yes, livestock still needs to be transported and paddocks top dressed. Due to the dry conditions, there has been a noticeable sell-off of cattle, but producers have been able to take advantage of the buoyant market.

So, where does the rural property market fit in all this?

As always, successful operators are concentrating efforts on the things they can affect, observing the situation and working out how they can put themselves as high as possible on any given market. If you are considering selling your property, your preparation is something you can affect. Getting timeframes worked out, tidying up the farm, and having a yarn with your agent about the process are all things that need to be done, regardless of what clouds are about.

The same applies if you are looking to buy.

For better or for worse, the clouds will change again; they always have. You can’t do anything about that.

Being in a position to take advantage of whatever clouds the winds of change bring us next is absolutely something we can and need to do.

Thanks again for taking the time to read. If you’d like to have a chat about your place and your plans, please don’t hesitate to call me. I’m always happy to talk.

Best regards,

Graham