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

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.

Oz dairy in consolidation mode

The Australian dairy industry is heading for more consolidation as milk supply shrinks, according to dairy analyst Steve Spencer.

Ditch jumpers

OPINION: The late Sir Rob Muldoon once famously quipped that the plane loads of Kiwis jumping the ditch to live in Australia "raised the IQ of both countries".

Featured

'Female warriors' to talk ag sector opportunities

The East Coast Farming Expo is playing host to a quad of ‘female warriors’ (wahine toa) who will give an in-depth insight into the opportunities and successes the primary industries offer women.

Dairy-beef offering potential for savings

Beef produced from cattle from New Zealand's dairy sector could provide reductions in greenhouse gas emissions of up to 48, compared to the average for beef cattle, a new study by AgResearch has found.

Dairy buoyant

The Rabobank Rural Confidence Survey found farmers' expectations for their own business operations had also improved, with the net reading on this measure lifting to +37% from +19% previously.

National

Farm Source turns 10!

Hundreds of Fonterra farmers visited their local Farm Source store on November 29 to help celebrate the rural service trader's…

Climate-friendly cows closer

Dairy farmers are one step closer to breeding cow with lower methane emissions, offering an innovative way to reduce the…

Machinery & Products

A JAC for all trades

While the New Zealand ute market is dominated by three main players, “disruptors” are never too far away.

Pushing the boundaries

Can-Am is pushing the boundaries of performance with its Outlander line-up of all-terrain vehicles (ATVs) with the launch of the…

» Latest Print Issues Online

Milking It

Milking fish

OPINION: It could be cod on your cornflakes and sardines in your smoothie if food innovators in Indonesia have their…

Seaweed the hero?

OPINION: A new study, published recently in Proceedings of the National Academy of Sciences, adds to some existing evidence about…

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter