A recent canola harvest on the North Star Aggregation in northern NSW, one of several holdings bought in recent months by a Utah-based investment company owned by the Church of Jesus Christ of Latter-day Saints. The aggregation represents a class of property in demand in the current environment, according to a recent HTW report. Photo: LAWD

A NEW REPORT has found high-quality cropping properties are commanding strong prices and good demand across the country.

In the latest Month in Review, Herron Todd White valuer Angus Ross said inquiry remains robust across the country, driven by family operators looking for scale and corporate investors seeking reliable long-term returns.

“Limited availability of premium land has helped maintain competitive tension in the market, with many regions reporting strong sale results even in the face of higher interest rates and commodity price volatility.”

Mr Ross said Australia’s grain sector had entered 2025 with strong underlying fundamentals, but was also facing new challenges.

“Following several years of high production levels, seasonal conditions over the past 12 months have varied significantly across the country.

“Some regions have benefited from favourable rainfall, while others have experienced drier weather patterns that are expected to impact crop yields in the year ahead.”

Mr Ross said this variability had reinforced the importance of flexible, region-specific farming strategies to manage risk and maintain production.

Global commodity markets have also influenced local conditions, according to Mr Ross.

“Wheat prices, while off their pandemic-era highs, continue to fluctuate amid shifting demand and global supply-chain pressures.

“Australian growers remain highly attuned to these international movements, recognising that export demand and logistics costs will play a critical role in shaping profitability throughout 2025.”

Despite these headwinds, Mr Ross said agricultural land values have continued to strengthen, particularly for high-quality cropping properties.

A significant consideration for the industry, explained Mr Ross, is supply-chain infrastructure.

“Efficient access to grain-storage facilities, transport networks and ports remain factors in supporting competitiveness, particularly for growers in more remote areas.

“Rising freight costs and logistical bottlenecks are shaping purchasing decisions and influencing where new investment in agricultural infrastructure is most urgently needed.”

Mr Ross said looking ahead, the Australian grains sector was well positioned to build on its strengths, but needed to navigate an increasingly complex landscape.

“Seasonal variability, shifting global markets, rising costs, and continued competition for quality land are likely to define the year ahead.

“Growers, investors and stakeholders who remain agile and forward focused will be best placed to take advantage of the opportunities the market presents.”

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