MEDIA RELEASE

23 March 2016

Embargo: 11.30am (Canberra Time)

36/2016

The total value of Australia’s agricultural production increased by 5.4 per cent to $54 billion despite poor seasonal conditions across much of the country, according to figures released today by the Australian Bureau of Statistics (ABS).

“The growth in the value of Australia's agricultural production was largely driven by an increase in the gross value of livestock disposals and products,” said Lauren Binns, Director of Rural Environment and Agriculture Statistics at the ABS.

“Strong international demand for livestock and meat products has seen prices rise through 2014-15 in both the domestic and export markets. Higher prices for cattle and sheep in particular have seen the value of Australia's livestock disposals and products increase 18 per cent to $27 billion," said Ms Binns.

There has been a corresponding fall in both the Australian meat cattle herd (down six per cent to 24.6 million head) and the sheep flock (down two per cent to 70.9 million head).

"Queensland's meat cattle herd decreased by 1.6 million head or 12 per cent to stand at 11.2 million head in 2014-15, as ongoing warm and dry weather conditions and the increased international demand provided incentives for farmers to slaughter a greater proportion of their herds," said Ms Binns.

While the gross value of livestock products increased in 2014-15, there were mixed results for both the value and production of agricultural crops. Sorghum and sugar cane for crush have seen increases in gross value, while there have been falls for wheat and canola.

“Australian sorghum production increased 72 per cent in the 2014-15 harvest with an increase in the area planted and good yields following some above average rainfalls later in the season,” said Ms Binns. “This increase in production has carried through to a 73 per cent increase in the estimated value of production for sorghum as prices remain high with increased exports to China, which is now Australia’s largest export market for grain sorghum.”

Sugar cane cut for crush reported the largest increase in the level of production, up 1.9 million tonnes to 32.4 million tonnes, which represents a six per cent increase over 2013-14 production figures. With area unchanged, a six per cent increase in yield has driven the increase.

In contrast production of wheat fell six per cent to 23.7 million tonnes. The decrease in national production was driven by a 12 per cent decrease in Western Australia's production (down to 8.8 million tonnes) and a 23 per cent decrease in Victoria's production (down to 2.6 million tonnes) with both states experiencing warm and dry conditions during winter and spring.

Further details can be found in Value of Agricultural Commodities Produced, Australia (2014-15) (cat. no 7503.0), and Agricultural Commodities, Australia (2014-15) (cat. No. 7121.0) available for free download from the ABS website www.abs.gov.au

Media note:

· When reporting ABS data, the Australian Bureau of Statistics (or ABS) must be attributed as the source.
· Unless otherwise noted Livestock products are defined as domestic slaughtering and exports of live animals and wool, milk and eggs.
· Media requests and interviews - contact the ABS Communications Section on 1300 175 070 (8.30am-5pm Mon-Fri).