Data comparing farm profitability and productivity in Victoria.
The Dairy Farm Monitor Project provides a comprehensive financial and production analysis of 75 dairy farms spread evenly across three dairy regions - South West, Gippsland and northern Victoria.
Now in its eleventh year, the project is a joint initiative between Agriculture Victoria and Dairy Australia.
This comprehensive report is used by government and industry to inform policy and service delivery to generate economic growth. It also allows farmers within each region to compare their performance, and identify areas for improvement. While the data presents results and trends, these need to be interpreted carefully as participant farms may not be representative of the industry and not all farms participate every year.
In 2016-17 Victorian dairy farmers received record low milk prices in the eleven year history of the project. However good seasonal conditions and pasture growth allowed farmers to reduce purchased feed costs and offset the low milk price.
Farm profits improved in 2016-17 from 2015-16, but were still below the the long term average. State wide average whole farm earnings before interest and tax (EBIT) were $166,878, the fifth lowest in the history of the project. Sixty seven of the 75 participants (89%) achieved a positive return on assets. The state-wide return on assets was 2.5 per cent, compared to 0.6 per cent in 2015-16.
For more information see: agriculture.vic.gov.au/dairyfarmmonitor