The dairy sector is Australia’s third largest rural industry. The total supply chain (farm production, manufacturing and export) generates $A13 billion each year.

The dairy sector is Australia’s third largest rural industry. The total supply chain (farm production, manufacturing and export) generates $A13 billion each year.1 Australian dairy exports were valued at A$2.76 billion in 2012-13. The main export destinations were China, Japan, Singapore, Malaysia, Indonesia and the Middle East.2 Australian dairy products are trusted by consumers around the world who are looking for premium quality, safety and nutrition. This global reputation for quality is backed by stringent biosecurity and food safety systems and a transparent supply chain.

KEY CAPABILITIES

Australia’s dairy sector is known for much more than fresh and processed milk products. Australian firms and research centres also work with dairy producers around the world, providing the technology, equipment, services, skills and systems to improve production in a range of climates and settings. Australia has expertise in both temperate and tropical dairy production, with a particular focus on pasture-fed operations and open, versus shed-based or intensive, herd management. Although Australian dairy herds are predominantly pasture-fed, the industry operates with high efficiency and achieves good response to grain and conserved fodder supplements, meaning that capabilities can be readily adapted to different practices in other settings. The Australian dairy industry is also recognised globally for its expertise in livestock genetic research, breed development and reproductive physiology as well as food product traceability and electronic farm management techniques.3 Australian dairy farming services support all requirements of the farming community, particularly dairy productivity, genetics and herd quality, animal health and nutrition, pasture improvement, soil management, waste management and other specialised farming needs. Australian dairy farmers have a strong track record of productivity gains through innovation and continuous improvements in efficiency and animal health management, optimising milk production and quality against cost of fodder. For example, average milk output per dairy cow in Australia more than doubled between 1968-69 and 2012-2013, from 2,430 litres per head to 5,389 litres per head. Herds in the temperate southern regions consistently achieve averages over 7000 litres per head.