In contrast, winter crop prospects in Western Australia are not as positive at this stage following continued dryness over most cropping regions of the state.

WA accounted for 36 per cent of Australia’s total winter crop production last season and seasonal conditions in the next few months will be crucial for the final outcome of the national crop in 2010-11.

Deputy executive director Paul Morris said in the release of the June edition of the Australian crop report that this year's autumn rain was the most widespread above average rainfall in the eastern States since 2003.

“All but a few cropping regions received more than 100 per cent of their long term average rainfall. However, further rain will be needed to complete planting in some regions and to maintain soil moisture during the growing season.”

One downside of the favourable summer and autumn conditions in the eastern states was a significant locust outbreak.

Many early sown crops, particularly in southern NSW and northern Victoria had to be replanted due to locust damage.

“The effects of the outbreak on the winter crop will not be known until spring but there is the potential for mass hatchings and consequent crop damage,” Mr Morris said.

“Despite the positive start to the season, crop plantings are expected to be down slightly due to lower wheat and barley prices.

"The total area of winter crops sown in Australia is forecast to fall by around one per cent to 22.1 million hectares in 2010-11.

"Assuming average yields, winter crop production is forecast at 35.1 million tonnes in 2010-11, largely unchanged from the 35.2 million tonnes produced last season.”

The area planted to wheat is forecast to fall by two per cent to 13.5 million hectares.

Wheat production in 2010-11 is forecast to increase to 22.1 million tonnes, a 2 per cent increase from 2009-10 assuming average yields.