Managing the drop in farm profits this summer

Andrew Bowcher of RSM Australia warns that Australian farmers face mounting financial pressure as agricultural production is forecast to fall by 5% and average broadacre farm profits by 70% in 2026–27, with lower yields, weaker commodity prices, rising input costs and adverse weather conditions threatening cash flow, and urges early financial planning, realistic cash flow forecasting, loan restructuring and strategic asset reviews to help businesses manage distress and avoid more severe restructuring outcomes.

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