Beef farming is an extremely important agricultural activity in Australia, and as noted by Canstar in its Agriculture Industry Outlook 2017-18, despite being a smaller producer than many other countries, it is the second largest beef exporter in the world involving about 55% (more than 47,000) of businesses with farming activities[1] and employing many thousands of people.
The gross value of Australian cattle and calf production (including live cattle exports) in 2016-17 was estimated at A$12.7 billion with cattle estimated to have contributed 20% of the total farm value of A$62.8 billion in 2016-17. [2]
Despite the drought conditions that affected cattle herd sizes in 2016, in 2017 cattle herds sizes increased and according to the Canstar report, herd sizes in Australia should continue to increase into 2018.
ABARES predicts beef production and export volumes to steadily increase until 2021-22[3].
However, beef prices are predicted to decline as a result of rising competition from major overseas exporters including Japan, the USA, South Korea and China[4].
[1] Meat & Livestock Australia Fast Facts (ABS Agricultural Commodities 2015-16)
[2] ABARES 2017, Agricultural commodities: March quarter 2017. CC BY 3.0.
[3] ABARES 2017, Agricultural commodities: March quarter 2017. CC BY 3.0.
[4] Canstar website report: Agriculture Industry Outlook for 2017-2018
