17 IREC Farmers' Newsletter No. 199 — Autumn 2018 NDVI image of a cotton crop on 7 February 2018. The top bays have grown back to back cotton, and the bottom bays have included fallow periods in rotation with cotton. Crop growth is patchier in the back to back bays compared with more uniform growth in the bottom bays. Yield is the primary driver when considering the profitability of a cotton enterprise. A 20% increase in yield from 10.5 to 12.6 bales/ha, results in a 54% increase in gross margin per hectare. A 20% decrease in yield results in 55% decrease in gross margin per hectare. Price received per bale of cotton is almost as critical. A 20% reduction in price received from $474/bale to $379/bale results in a 47% reduction in gross margin per hectare. A 20% increase in price received per bale (to $569/bale) results in a 47% increase in gross margin per hectare. There will be a range of crop options to grow as rotations evolve to suit individual enterprises and grower preferences. There is also interest in fitting cover crops and biofumigant crops into the sequence. We need to think long term about protecting and improving the soil health of individual fields and the health of crops, to capture the upside of cotton returns. Further information Kieran O’Keeffe M: 0427 207 406 E: [email protected] Information when you need it Fences, Sheds, Silos, Stock yards, Irrigation, House etc. Have you purchased or had a farm transferred in the last 10 years?