Bungulla Farming: Targeting science and technology result in profit boost

IF BUNGULLA Farming were a listed company, its profitability would have hedge funds scrambling over each other to invest in it.

Fine returns: Brad Jones and Kate Raston with children Nina, Zoe, Sam and Alex.

IF BUNGULLA Farming were a listed company, its profitability would have hedge funds scrambling over each other to invest in it.

Such are the impressive returns being achieved by Brad Jones and Kate Raston on Kate’s family farm at Tammin, about 180km east of Perth in Western Australia.

Through a targeted approach aimed at maximising technology and science, Brad and Kate achieve a mind-blowing 15 per cent return on investment for their 11,000 hectares of wheat, barley, canola, field peas and export hay.

Not a bad feat when you consider the average West Australian grain farm achieves an ROI of 4.3 per cent and the top 25 per cent of farms 8.3 per cent.

“My hurdle rate is 15 per cent return on investment,” Brad said. “If we are not striking that hurdle rate we have to look at why. If you concentrate on tonnes per hectare you have got an easy out — you can blame it on the weather and walk away.”

Brad’s previous job as a pilot on Queensland’s Darling Downs whetted his appetite for data and number crunching. He has been collecting, analysing and using crop and soil data on the farm for more than two decades.

In 2007 they conducted soil analysis to examine changes in soil salinity, texture and moisture, and background. Brad has since conducted hundreds of trials to test fertiliser application, variable rate technology, varieties and row spacing at sowing.

A shift to liquid fertiliser application, and an investment in a 9000-tonne silo infrastructure, helped drive return on asset from “single digits to mid-teens”.

Last year, Brad and Kate’s hay crop exceeded this target, achieving a 22 per cent return on investment.

It’s the happy union of science and profitability that make Brad Jones and Kate Raston deserving winners of The Weekly Times Coles 2016 Cropping Farmer of the Year.