Facts About Australia's Food Industry
about Australia food industry
Australia’s food industry encompasses a wide range of products. Although predominantly arid, Australia has a range of climates and land types. These include northern tropical areas, high-rainfall coastal regions, arid and semi-arid climates, most of which are used for food production. This variety, combined with cutting edge technology, makes Australia a reliable long-term supplier to global markets.
The beginnings
Australia’s Indigenous people, while primarily hunter-gatherers, had long been modifying their environment to improve access to ready sources of food. Examples include ‘firestick farming’ to attract grazing animals and the use of fish traps. The first food processing industries to appear were the …show more content…
farmhouse and village technologies of milling and baking, brewing, salting, and butter and cheese making. These were brought to Australia in 1788 with the first European settlement. By the 1790s, small quantities of beer, butter and cheese were on offer in the Sydney and Parramatta markets.
For decades, the acceptance of canned meat in English markets and the plentiful supply of raw material led to the canning of Australian meat.
But in the mid nineteenth century, Australia’s processed food industry was to build on its commercial advantages by extending canning to jams and other products. The gold rushes of the 1850s brought around 600 000 migrants to Australia. The increased population immediately stimulated agriculture with farm employment in Victoria tripling in the three years to 1857. The late 1800s saw a period of rapid technological innovation with the arrival of refrigeration, which paved the way for a successful export meat industry, and automation, which revolutionised many processes. The Second World War galvanised the Australian food industry. Faced with new and urgent demand for unfamiliar service rations to precise specifications, the industry advanced rapidly. Existing technologies were modernised and additional ones evolved. Scientific developments driven by wartime innovation gave rise to improved processes, products and product …show more content…
applications.
Development
As the colony grew so did its demand for food. By 1819 around 1000 settlers were cultivating small plots of land while owning some sheep and cattle. They soon realised that greater profits could be made from grazing than cultivation.
Department of Foreign Affairs and Trade—about Australia fact sheet series
about Australia food industry
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The food industry today
Today the food industry is a vital component of the Australian economy.
Food accounts for 46 per cent of all retailing turnover in Australia, with total food and liquor retail spending in 2006–07 rising to $106.6 billion, an 8 per cent increase from the previous year. The industry makes a significant contribution to the economies of regional areas through employment, business and service opportunities. There were around 191 400 people employed in food and beverage manufacturing in Australia in 2006–07. Many new industries were established in the late 1980s and 1990s to take advantage of emerging market opportunities. Crops in the fruit and vegetables industry such as Asian vegetables, nashi pears, lychees, olives and herbs were introduced. New aquaculture activities, such as the farming of Atlantic salmon and growing out of wild caught southern bluefin tuna, were established. Recently domestic and international markets have recognised the food value of Australia’s indigenous flora and fauna. Kangaroo and crocodile, for example, are now accepted meat products. The ‘bush foods’ industry has worked to integrate a wide range of native products into the Australian food
industry.
Processed food industry
The food processing industry in Australia covers a number of sectors: Turnover (2005–06, $millions) 4 005 13 289 9 991 3 692 4 672 17 836 1 547 1 330 6 456 8 554 71 372
Sector Bakery products Beverage and malt manufacturing Dairy products Flour mill and cereal food manufacturing Fruit and vegetable processing Meat and meat products Oil and fat manufacturing Seafood processing Sugar and confectionery manufacturing Other food manufacturing Total
The processed food and beverage industry is Australia’s largest manufacturing industry with a turnover of more than $71.4 billion in 2005–06. Growth in the value of output has averaged around 2 per cent a year over the past ten years. The industry makes a significant contribution to rural and regional Australia, with over 40 per cent of food processing employment occurring in non-metropolitan areas. Australia’s 50 largest food and beverage corporations produce almost threequarters of the domestic industry’s revenue. Supermarkets and grocery outlets continue to capture the majority of food sales in Australia, with around 60 per cent of the value of total food and liquor retailing in 2006–07.
Department of Foreign Affairs and Trade—about Australia fact sheet series
about Australia food industry
3/3
Food trade
Australia has a worldwide reputation for producing superior quality, premium food. Australian food producers are committed to providing the highest international standards of quality management and food safety. The value of Australian food exports declined by around 3 per cent in 2006–07 to $23.3 billion compared with the previous year. Food exports reached a peak of $30.8 billion (2006–07 dollars) in 2001–02 and have been declining since, largely due to drought and changes in import demand from overseas markets. Meat and grains have consistently been the two largest export categories, with meat accounting for 30 per cent of the value of food exports in 2006–07 and grains nearly 15 per cent. Wine and dairy exports have also grown significantly in recent years, with wine accounting for nearly 13 per cent of exports in 2006–07, and dairy nearly 10 per cent. Australia’s major markets for exports are Japan and the United States, making up 20 per cent and 13 per cent respectively. Since 1990–91, there has also been an increased share of exports going to Indonesia (from 2 per cent in 1990–91 to 7 per cent in 2006– 07), the Republic of Korea (4 per cent to 8 per cent), New Zealand and the United Kingdom (both 2 per cent to 5 per cent). Australia has benefited from its capacity to supply high-quality food products to Pacific Rim countries and to more distant markets such as Saudi Arabia and the United Arab Emirates. Note: Unless otherwise stated, all dollar amounts are in Australian dollars.
Further information
Department of Agriculture, Fisheries and Forestry (DAFF) www.daff.gov.au Foodinfo, DAFF http://www.daff.gov.au/agriculture-food/food Australian Food and Grocery Council www.afgc.org.au Food Standards Australia New Zealand www.foodstandards.gov.au Australian Quarantine and Inspection Service, DAFF www.aqis.gov.au
Last updated May 2008
Satellite imagery © Commonwealth of Australia, Geoscience Australia, ACRES. Western Australia coastline.
Department of Foreign Affairs and Trade—about Australia fact sheet series
Australia’s food industry encompasses a wide range of products. Although predominantly arid, Australia has a range of climates and land types. These include northern tropical areas, high-rainfall coastal regions, arid and semi-arid climates, most of which are used for food production. This variety, combined with cutting edge technology, makes Australia a reliable long-term supplier to global markets.
The beginnings
Australia’s Indigenous people, while primarily hunter-gatherers, had long been modifying their environment to improve access to ready sources of food. Examples include ‘firestick farming’ to attract grazing animals and the use of fish traps. The first food processing industries to appear were the …show more content…
farmhouse and village technologies of milling and baking, brewing, salting, and butter and cheese making. These were brought to Australia in 1788 with the first European settlement. By the 1790s, small quantities of beer, butter and cheese were on offer in the Sydney and Parramatta markets.
For decades, the acceptance of canned meat in English markets and the plentiful supply of raw material led to the canning of Australian meat.
But in the mid nineteenth century, Australia’s processed food industry was to build on its commercial advantages by extending canning to jams and other products. The gold rushes of the 1850s brought around 600 000 migrants to Australia. The increased population immediately stimulated agriculture with farm employment in Victoria tripling in the three years to 1857. The late 1800s saw a period of rapid technological innovation with the arrival of refrigeration, which paved the way for a successful export meat industry, and automation, which revolutionised many processes. The Second World War galvanised the Australian food industry. Faced with new and urgent demand for unfamiliar service rations to precise specifications, the industry advanced rapidly. Existing technologies were modernised and additional ones evolved. Scientific developments driven by wartime innovation gave rise to improved processes, products and product …show more content…
applications.
Development
As the colony grew so did its demand for food. By 1819 around 1000 settlers were cultivating small plots of land while owning some sheep and cattle. They soon realised that greater profits could be made from grazing than cultivation.
Department of Foreign Affairs and Trade—about Australia fact sheet series
about Australia food industry
2/3
The food industry today
Today the food industry is a vital component of the Australian economy.
Food accounts for 46 per cent of all retailing turnover in Australia, with total food and liquor retail spending in 2006–07 rising to $106.6 billion, an 8 per cent increase from the previous year. The industry makes a significant contribution to the economies of regional areas through employment, business and service opportunities. There were around 191 400 people employed in food and beverage manufacturing in Australia in 2006–07. Many new industries were established in the late 1980s and 1990s to take advantage of emerging market opportunities. Crops in the fruit and vegetables industry such as Asian vegetables, nashi pears, lychees, olives and herbs were introduced. New aquaculture activities, such as the farming of Atlantic salmon and growing out of wild caught southern bluefin tuna, were established. Recently domestic and international markets have recognised the food value of Australia’s indigenous flora and fauna. Kangaroo and crocodile, for example, are now accepted meat products. The ‘bush foods’ industry has worked to integrate a wide range of native products into the Australian food
industry.
Processed food industry
The food processing industry in Australia covers a number of sectors: Turnover (2005–06, $millions) 4 005 13 289 9 991 3 692 4 672 17 836 1 547 1 330 6 456 8 554 71 372
Sector Bakery products Beverage and malt manufacturing Dairy products Flour mill and cereal food manufacturing Fruit and vegetable processing Meat and meat products Oil and fat manufacturing Seafood processing Sugar and confectionery manufacturing Other food manufacturing Total
The processed food and beverage industry is Australia’s largest manufacturing industry with a turnover of more than $71.4 billion in 2005–06. Growth in the value of output has averaged around 2 per cent a year over the past ten years. The industry makes a significant contribution to rural and regional Australia, with over 40 per cent of food processing employment occurring in non-metropolitan areas. Australia’s 50 largest food and beverage corporations produce almost threequarters of the domestic industry’s revenue. Supermarkets and grocery outlets continue to capture the majority of food sales in Australia, with around 60 per cent of the value of total food and liquor retailing in 2006–07.
Department of Foreign Affairs and Trade—about Australia fact sheet series
about Australia food industry
3/3
Food trade
Australia has a worldwide reputation for producing superior quality, premium food. Australian food producers are committed to providing the highest international standards of quality management and food safety. The value of Australian food exports declined by around 3 per cent in 2006–07 to $23.3 billion compared with the previous year. Food exports reached a peak of $30.8 billion (2006–07 dollars) in 2001–02 and have been declining since, largely due to drought and changes in import demand from overseas markets. Meat and grains have consistently been the two largest export categories, with meat accounting for 30 per cent of the value of food exports in 2006–07 and grains nearly 15 per cent. Wine and dairy exports have also grown significantly in recent years, with wine accounting for nearly 13 per cent of exports in 2006–07, and dairy nearly 10 per cent. Australia’s major markets for exports are Japan and the United States, making up 20 per cent and 13 per cent respectively. Since 1990–91, there has also been an increased share of exports going to Indonesia (from 2 per cent in 1990–91 to 7 per cent in 2006– 07), the Republic of Korea (4 per cent to 8 per cent), New Zealand and the United Kingdom (both 2 per cent to 5 per cent). Australia has benefited from its capacity to supply high-quality food products to Pacific Rim countries and to more distant markets such as Saudi Arabia and the United Arab Emirates. Note: Unless otherwise stated, all dollar amounts are in Australian dollars.
Further information
Department of Agriculture, Fisheries and Forestry (DAFF) www.daff.gov.au Foodinfo, DAFF http://www.daff.gov.au/agriculture-food/food Australian Food and Grocery Council www.afgc.org.au Food Standards Australia New Zealand www.foodstandards.gov.au Australian Quarantine and Inspection Service, DAFF www.aqis.gov.au
Last updated May 2008
Satellite imagery © Commonwealth of Australia, Geoscience Australia, ACRES. Western Australia coastline.
Department of Foreign Affairs and Trade—about Australia fact sheet series