Victorian Grains industry
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Transcript of Victorian Grains industry
Victorian Grains industry
The Drivers of Productivity GainImproved farming practices and technologies
No TilI
GM ?Robotics?Systems Mgt.????????
Farms and value of productionGrains 2011 (Neil Barr, Carole Hollier)
Only a fifth of farms have an EVAO of greater than $500,00. These farms produce over half of the value of grains.
ABARES research suggests large farms drive productivity and have capacity to uptake latest research and innovation.
Family income broadacre farms from farm and non-farm sources$25k-$100k EVAO: 1990-2007
Source: ABARE
٥ Unlikely to be generating sufficient income to invest, build risk reserves or support family without off-farm income.
٥ Family income sustained by off-farm income.
Family income broadacre farms from farm and non-farm sources
$100k-$200k EVAO: 1990-2007
Source: ABARE
٥ Farm income makes a significant contribution to family income.
٥ Non-farm income is a significant secondary income source.
Family income broadacre farms from farm and non-farm sources$200k-$400k EVAO: 1990-2007
Source: ABARE
٥ In ‘normal’ seasons these farms have generated a healthy farm family income with only limited supplementation from off-farm sources.
٥ The current run of dry seasons has cut severely into this income.
Family income broadacre farms from farm and non-farm sources$400k+ EVAO: 1990-2007
Source: ABARE
٥ Generate a volatile, but sustained high cash surplus.
٥ Impact of dry seasons is there, but less severe than in other segments.
٥ Suggests there is the capacity of many of these businesses to adapt to changing climate.
٥ Income is variable, but capacity exists to build resilience to cope with income variation.
Characteristics of top and average
Grains – average area operated (ha)
Source: ABARES
Source: ABARES
Characteristics of top and averageGrains – water use efficiency ($/100 mm rainfall/ha))
Farming for some is very profitable with acceptable risk levels
Number of large grain farms 2011(EVAO gt $500,000)
Market Segmentation - Victorian Grains Industry
5500 grain producers in Victoria
2500 with productivity intentions
FSV Grains in contact with 1500
80% with productivity intentions
800 with EVAO $500k +
FSV in contact with approx 75% direct
Advisory Sector
• Approximately 300 advisers in Victoria• Mix of retail and fee for service• Need to understand each firms business model
to tailor advice packages for their needs• Important to contextualise research• Build their capability and increase accessibility
of research• Work with all key businesses
Grower Groups
6 main grower groupsEach operate very differently and have
different capability and capacityHighlight opportunities for DEPI R&D that
can be demonstrated in paddock to members
Build capability of staff often through successful joint funding bids/collaboration
Capability Capacity
Understand capability and capacity to meet expected
milestones, contracts, and stakeholder expectations
Understand both staff capabilities and capacity to
deliver what is needed
Identify if there is a gap or mismatch
Also identify what future capabilities might be needed
to grasp emerging opportunities
Innovation and OpportunitiesKeys to
Innovation and productivity
Education
Access to Labour
Land use intensity
Farm Size
Off Farm Income
Adviser and Contractor use and availability
Farmer Health and Well Being
Opportunities maybe worth pursuing
Consumer technologyScouting through DronesRoboticsBig Data ie monitoring every seed and plantAgricultural engineering (Machinery)Extracting better value from capital tied up in land ownership