Thursday, 19 October 2023 08:55

Record profit for Victorian farmers

Written by  Staff Reporters
Milk price paid to Victorian farmers last season rose 33% to a record A$9.77/kgMS. Milk price paid to Victorian farmers last season rose 33% to a record A$9.77/kgMS.

Dairy farmers in the Australian state of Victoria had a record profitable 2022-23 season, thanks to high milk prices and carefully managed high costs.

Dairy Farm Monitor Project - a partnership between Dairy Australia and Agriculture Victoria - includes collection and analysis of financial and production data from dryland and irrigated dairy farms in southwestern Victoria, Gippsland and northern Victoria.

It tracks 80 dairy farm businesses, and participants represent a distribution of farm size, feeding systems and herd sizes.

This year's findings revealed that milk price increased by 33% to A$9.77/kgMS - the highest on record in the survey's 17 years - helping to offset rising feed costs and overheads including labour.

Farmers use the reports to inform their business decisions, assess their business performance over time, implement substantial farm changes and assist in financial management.

Dairy Australia general manager research & innovation, Greg Jarman, says that some of these decisions can have a lasting impact on the profitability and sustainability of their farm.

"The Dairy Farm Monitor Project is a valuable source of independent physical and financial data around a wide range of on farm practices, equipping farmers with essential insights to inform their decision making," says Jarman.

"This information also ensures that farm consultants and industry stakeholders can use reliable, independent and useful information and resources to provide good advice to farmers."

Valued at A$2.5 billion, Victorian dairy leads the nation's exports. The gross value of milk produced in Victoria is worth A$2.86 billion and the sector supports almost 13,000 jobs, almost half of which are in regional Victoria. There were approximately 2,773 dairy farm businesses in Victoria that produced 5.14 billion litres or 63% of Australia's national milk production in 2022-23.

"It is pleasing to see Victorian dairy farmers come out on top following a year of higher business inputs, wet conditions and flooding," Agriculture Victoria Sector Development and Services Executive Director, Dougal Purcell says.

"We thank the Dairy Farm Monitor project participants for their dedicated support to this initiative, providing such valuable information to industry and governent."

More like this

Oz farmers' election wishlist

Australian farmers advocate NFF says this year’s Federal Election will be a defining moment for Australian agriculture.

Seaweed wonder

OPINION: Research across the ditch has found that seaweed doesn’t just make a tasty wrap for sushi rolls.

Dairy giant

OPINION: Part of the reason China is buying less of our dairy produce is their success growing their own supply.

Say nothing!

OPINION: Normally farmer good organisations are happy to use the media to get their message across to politicians and the consumers.

Featured

Low interest sustainability lending from Halter, banks

Dairy and beef farmers could be eligible for lower interest lending options for financing Halter on their farms, with ANZ, ASB and BNZ now offering a pathway to sustainability loans for New Zealand’s largest virtual fencing provider.

National

Optimism in the air

Ag First chief executive James Allen says dairy farmer optimism is on the rise.

Ready to walk the talk

DairyNZ's Kirsty Verhoek ‘walks the talk’, balancing her interests in animal welfare, agricultural science and innovative dairy farming.

Dairy earnings bounce back

"We at Ministry for Primary Industries (MPI) and you at Dairy News said over six months ago that the dairy…

Machinery & Products

Powering farm operations

Waikato-based Silvester Electrical has been supporting New Zealand’s dairy industry for nearly 50 years.

DTS pioneering refrigerant swap

DTS, New Zealand's leading manufacturer of stainless steel vats and refrigeration technologies, is spearheading a groundbreaking initiative to phase out…

Discover the plastic edge

For over 20 years, Advantage Plastics has been manufacturing and supplying New Zealand-wide a large range of on-farm storage &…

Solution for every farm

For over 40 years, Williams Engineering has been trusted by farmers across New Zealand and beyond to deliver simple, reliable,…

» Latest Print Issues Online

Milking It

Bovaer's fate

OPINION: The fate of methane inhibitor Bovaer in NZ farming is still up in the air.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter