Dairy is State's highest value agricultural commodity

Tasmania’s dairy industry has once again proven to be key driver of agricultural production across the state.

Dairy was again the highest value agricultural category, increasing by 35 per cent to $684 million.

The latest Tasmanian Agri-Food Scorecard for 202-2023 released this week shows agricultural production across the state increased to $2.46 billion.

The report says pasture-based industries accounted for 52 per cent of farm gate value due to favourable seasonal conditions and strong milk prices underpinning growth in farm gate value.

The scorecard measures and reports on the value and final market destinations of the state’s agriculture, food and beverage production.

Minister for Primary Industries and Water, Jane Howlett, said the scorecard demonstrates strong progress on the Tasmanian Government’s target to grow the farm gate of the State’s agriculture sector to $10 billion by 2050.

She said latest edition shows that 2022-2023 was another year of growth for Tasmanian agriculture, with the gross value of agricultural production growing by five per cent to $2.46 billion in 2022-23, compared to $2.34 billion in 2021-22.

“Agriculture is the backbone of our economy, a way of life in Tasmania, and our Government is backing farmers and leveraging our strengths,” Minister Howlett said.

“We have delivered $1.5 million to peak bodies and agricultural organisations, for key projects that will build capacity in the sector,
through the Strategic Industry Partnership Program.”

Tasmania’s wine sector is forecast to become the State’s most significant economic driver over the coming 10-15 years.

The State’s overall agri-food value, which also includes the $1.56 billion seafood industry, grew by 10 per cent to $4.02 billion. The scorecard showed value of seafood was up by 19 per cent to $1.56 billion, with salmonids leading with a value food production of $1.37 billion.

Packed and processed value of food was also up by seven per cent on the previous year to $6.02 billion.

When it comes to direct overseas exports the report showed a slight decline of one per cent to $.96 billion however net interstate sales jumped by 27 per cent to $4.56 billion.

The value of the state’s dairy production increased significantly jumping up form $506 million in 2021-2022 to $684 Million in 2022-2023.

Potatoes were also another standout performer during the year when a shortage of products across the country saw crop value increase from $151 million to $324 million.