Farm Tender

Cost of production a killer for Australian Dairy Farmers

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By David Beca - Owner of Red Sky Agricultural Pty Ltd. 

The Australian dairy industry continues to struggle with low levels of profitability, and sadly, there is almost no discussion of the much higher increase in cost of production in Australia that has occurred over the last 20 years compared to many of our peers, or what needs to change to address this trend. Milk prices in Australia over the same 20-year period have been competitive with our peers.  

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I recently gave a presentation at a conference organised by Uruguay's National Institute of Milk comparing business performance changes within the dairy industries of Australia, New Zealand, United States, Argentina, Uruguay and South Africa. The presentation was titled "Evolution of dairy production systems in the world's leading exporters" and 3 key slides highlight the macro trends.

My interview in Uruguay in relation to my presentation and the trends in these dairy industries can be viewed at https://lnkd.in/fynHiQe

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