Dairy Australia - Dairy information for Australian Dairy Farmers and the industry

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Get an overview of key dairy farm statistics from around Australia on the number of cows and farms.

Cows and farms

Southeast Australia’s climate and natural resources are generally favourable to dairying and allow the industry to be predominantly pasture-based, with approximately 60–65% of cattle feed requirements coming from grazing in a year of ‘normal’ seasonal conditions. This results in cost efficient, high-quality milk production.

Most dairy production is located in coastal areas where pasture growth generally depends on natural rainfall. Nevertheless, there are several inland dairying areas reliant on irrigation schemes, most notably in northern Victoria and the New South Wales Riverina.

Total mixed ration (TMR) dairying remains the exception in Australia, although the use of supplementary feed – grains, hay and silage – is widespread and has increased significantly over the past decade, as farmers have adapted to drier conditions in many dairying regions. Such changes in production systems have introduced an added input cost and additional level of risk in the variability of farm returns.

According to the 2017 National Dairy Farmer Survey, practically all dairy farmers engaged in some level of supplementary feeding during the 2016/17 season, with the national average of around 1.6 tonnes per cow per year unchanged from last year. Feeding moderate to high levels of concentrates remains the most common feed system, however the proportion of dairy farmers doing so fell in both Victoria and Tasmania. Slight increases in feeding were observed in New South Wales and Queensland, due to drier seasonal conditions.

The number of farms has fallen by almost three quarters since 1979/80 from 21,994 to 5,789 in mid-2017. The trend in farm numbers will often follow changes in farmgate milk prices from season to season, with strong prices either slowing the rate of attrition or even reversing the long-term trend. At times of low farmgate milk prices, farmers choose to leave the industry or else cease dairying operations in favour of other farming activities such as beef cattle, until market conditions improve.

Nevertheless, falling farm numbers reflect a trend in agriculture around the world, as changing business practices have encouraged a shift to larger, more intensive operating systems with greater economies of scale.

Number of registered dairy farms


NSW VIC QLD SA WA TAS AUST
1979/80 3,601 11,467 3,052 1,730 622 1,522 21,994
1989/90 2,220 8,840 1,970 969 496 901 15,396
1999/00 1,725 7,806 1,545 667 419 734 12,896


           
2005/06 1,024 5,892 802 383 245 498 8,844
2006/07 924 5,346 734 354 222 475 8,055
2007/08 886 5,422 664 332 186 463 7,953
2008/09 860 5,462 648 320 183 451 7,924
2009/10 820 5,159 621 306 165 440 7,511
         
  
2010/11 807 4,588 595 286 170 437 6,883
2011/12 778  4,556  555  275  162  444  6,770 
2012/13
731  4,284  518  268  160  437  6,398 
2013/14
710
4,268
475 264
156
435 6,308
2014/15
704
4,127
448
252
157
440
6,128
2015/16 
685
4,141 421
259
151 
434
6,091 
2016/17 (p)  661  3,889  410  241  148 440  5,789 

Source: State milk authorities

Average herd size has increased from 93 cows in 1985 to an estimated 262 currently. There is also an emerging trend of large farm operations of more than 1,000 dairy cattle.

Despite the increase in average herd sizes over the longer term, one of the variables placing a limit on total milk production in recent years has been a fairly static national herd size. One factor contributing to this situation is that the increased volatility in farm cash incomes has led many farmers to participate in the export heifer trade, or selling dairy cows for slaughter in an attempt to stabilise farm income.

The dominant breed in Australia is the Holstein, accounting for around 65% of all dairy cattle. Other important breeds include the Jersey, the Holstein/ Jersey cross, Brown Swiss, Ayrshire and local breeds, the Australian Red and the Illawarra.

Number of dairy cows (000 head)


NSW VIC QLD* SA WA TAS AUST
At March 31
1979/80 311 1,047  247  103  71 103 1,880
1989/90 238 968 201 89 64 92 1,654
1999/00 289 1,377 195 105 65  139 2,171

New Series*** 

2005/06 222 1,217 127 104 67 143 1,880
2006/07 210 1,150 121 114 60 140 1,796
2007/08 195 1,055 100 103 54 134 1,641
2008/09 201 1,061 107 106 52 149 1,676
2009/10 203 1,014 98 92 55 134 1,596

2010/11 195  1,010 97  90  59  138  1,589
2011/12
204 1,115
101 76
57
148
1,700 
2012/13
210 1,096 96 77 62
148 1,688
2013/14 181
1,093 98
73
66
137
1,647
2014/15
177 1,147 91
68
59
147
1,689
2015/16 (r)
182 1,005 89 78 
60 
149 
1,562 
2016/17 (p)  165  995 87  65  55  145  1,512

Source: ABS and Dairy Australia

* For 1999 and 2000, QLD state figure includes NT cow numbers
** From 2001, census date is June 30, NT and ACT numbers are included in the national total
*** Change in ABS data collection

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