Australia: Growth spurt predicted for organics

In survey findings released over the past week by independent global industry researcher IBISWorld , organic farming was tipped to be a front-runner in the areas of revenue and employment in Australia, BFA reports. In its report on the “Top 10” growth industries, IBISWorld states that organic farming revenue is to increase 14.8 % in 2010. In the next five years revenue is expected to grow at an average rate of 13.4 % per year. IBISWorld General Manager (Australia), Mr Robert Bryant, says that while on average organic goods remain more expensive than non-organic produce, higher disposable incomes, coupled with increasing awareness of environmental sustainability and an increase in the range of organic produce available, will see continued growth in this industry.

He continues that not only does organic farming offer higher returns for farmers, but recent studies suggest it is more resilient and adaptable to changing conditions wrought by climate change, encouraging some farmers to switch from conventional to organic farming. In a separate IBISWorld report, organic farming, as an employer, is forecast to strengthen from 6.2 % in 2012-13 to 11.2 % in 2013-14. While many of the jobs created will fall into the category of unskilled labour, there will also be opportunities created for ecologists, biodynamic farming specialists, and researchers, according to Mr Bryant.
 

Holly Vyner, General Manager of the Biological Farmers of Australia, states that BFA has been watching steady growth in organics for some time. BFA commissioned research in 2008 reported retail sales reached 0.6 billion AU $ and an 80 % growth in farm gate sales over four years despite widespread drought. She explains that this year will see the publication of the 2010 Australian Organic Market Report, independently researched by the University of New England on behalf of BFA, building upon 2008 data. This next report will be an important yardstick for measuring organic industry growth over the past two years, and will provide industry members and potential new entrants with an essential guide to trends and opportunities in various sectors within the organic industry. Ms Vyner adds that organic farmers are, on average, younger than non-organic farmers, which augurs well for future organic farming growth. (Picture: Lake Wivenhoe, Australia)

BFA