The gross value of Australian farm production is forecast to increase to $58.4 billion this financial year – partly due to a forecast rise in the gross value of crop production.
However, the ABARES Agricultural Commodities report is expecting export earnings from farm commodities to fall slightly to $44 billion in 2016-17, following a modest increase of 1.3 per cent in 2015-16.
“While cattle prices are expected to remain strong, beef exports are forecast to fall by 12 per cent as herd rebuilding limits supplies for export,” acting ABARES Executive Director Peter Gooday said.
Other commodities for which export earnings are forecast to fall in 2016-17 are beef and veal (–12 per cent), dairy products (–1 per cent), live feeder/slaughter cattle (–4 per cent) and mutton (–17 per cent).
While export earnings for wheat are expected to remain largely unchanged, rises in export earnings are forecast for wool (6 per cent), sugar (21 per cent), wine (1 per cent), cotton (40 per cent), lamb (3 per cent) and canola (43 per cent).
“Export earnings for fisheries products are also forecast to rise by 8 per cent to $1.7 billion in 2016–17, following an increase of 7 per cent in 2015 16,” Mr Gooday said.
On a positive note, Mr Gooday, said that – if realised – the gross value of farm production would be about 13 per cent higher than the average value for the past five years.
“In 2016–17, the gross value of crop production is set to increase by 6.6 per cent to $29.2 billion, which is largely due to a rise in the gross values of horticulture, cotton and oilseed production,” he said.
“The gross value of livestock production is also forecast at $29.2 billion, which remains largely unchanged after an estimated 7.7 per cent increase in 2015-16.”
The September edition of the ABARES Agricultural Commodities report also features articles on current agricultural issues, including Australian farm investment.
Full details are available at: agriculture.gov.au/abares/publications