Victorian Dairy Farm Monitor Project Report released
12 October 2026
The Victorian Government, together with Dairy Australia, is celebrating 20 years of the Dairy Farm Monitor Project, with the latest report showing a strong rebound in dairy farm profitability across the state.
Minister for Agriculture Michaela Settle today launched the 2025-26 Victorian Dairy Farm Monitor Project Annual Re-port - which marks two decades of collaboration between Agriculture Victoria and Dairy Australia, providing valuable farm-level data to inform industry and government decision-making.
The project now collects data from 90 dairy farms across Northern Victoria, South West Victoria and Gippsland.
The report shows profitability rebounded strongly following a challenging 2024-25 season, with 86 of the 90 participating farms recording positive returns.
More favourable seasonal conditions helped dairy businesses rebuild feed reserves, increase milk production and re-cover from recent drought impacts, with South West Victoria recording the strongest improvement in profitability across the state.
For 20 years, Upper Murray dairy farmer Evan Nicholas has contributed to the Dairy Farm Monitor Project, using its detailed farm data to better understand and improve his business. Milking around 600 cows, he says the project provides valuable information that supports both farmers and industry decision-making.
The project's 20-year dataset highlights the responsiveness and adaptability of Victorian dairy farmers, who have navigated droughts, floods, milk price volatility, rising costs and labour shortages while continuing to improve productivity and efficiency.
Farms are now larger, more productive and increasingly data-driven than they were when the project began in 2006-07.
More than 80 per cent of participating farmers expect business returns to improve or remain stable in 2026-27, reflecting continued confidence in the future of Victoria's dairy industry.
"For 20 years, the Dairy Farm Monitor Project has provided trusted insights that help farmers, industry and government make informed decisions," said Minister for Agriculture Michaela Settle.
“This year's results show Victoria's dairy farmers continue to manage risks with strong improvements in profitability following a difficult season and nearly all participating farms recording positive returns.”
Dairy Australia CEO Matt Shaffer said the longitudinal data from the Dairy Farm Monitor Project supports farmers to establish a long-term view of their farm’s performance.
“Over the past 20 years, the Dairy Farm Monitor Project has built a valuable set of farm-level data, helping participating farmers track their performance over time and contributing to our broader understanding of farm production, profitability and emissions.”
“It’s encouraging to see improved profitability among participating farms in South West Victoria and Gippsland following some challenging seasonal conditions, and we’re pleased to see participation in the project continuing to grow, from 80 farms last year to 90 this year and an expected 110 next year.”
Upper Murray dairy farmer Evan Nicholas has been a participant in the Dairy Farm Monitor Project since it began 20 years ago and believes the data it gives his farm helps his farm business make sound decisions.
“Having 20 years of data gives us a really clear picture of how our farm has changed and where we’ve improved,” Nicholas said. “It helps us look at things like feed costs and production year-on-year, understand what’s working for our business and make better decisions about where we go next.”
To read the full report, visit Dairy Farm Monitor Project.
The project now collects data from 90 dairy farms across Northern Victoria, South West Victoria and Gippsland.
The report shows profitability rebounded strongly following a challenging 2024-25 season, with 86 of the 90 participating farms recording positive returns.
More favourable seasonal conditions helped dairy businesses rebuild feed reserves, increase milk production and re-cover from recent drought impacts, with South West Victoria recording the strongest improvement in profitability across the state.
For 20 years, Upper Murray dairy farmer Evan Nicholas has contributed to the Dairy Farm Monitor Project, using its detailed farm data to better understand and improve his business. Milking around 600 cows, he says the project provides valuable information that supports both farmers and industry decision-making.
The project's 20-year dataset highlights the responsiveness and adaptability of Victorian dairy farmers, who have navigated droughts, floods, milk price volatility, rising costs and labour shortages while continuing to improve productivity and efficiency.
Farms are now larger, more productive and increasingly data-driven than they were when the project began in 2006-07.
More than 80 per cent of participating farmers expect business returns to improve or remain stable in 2026-27, reflecting continued confidence in the future of Victoria's dairy industry.
"For 20 years, the Dairy Farm Monitor Project has provided trusted insights that help farmers, industry and government make informed decisions," said Minister for Agriculture Michaela Settle.
“This year's results show Victoria's dairy farmers continue to manage risks with strong improvements in profitability following a difficult season and nearly all participating farms recording positive returns.”
Dairy Australia CEO Matt Shaffer said the longitudinal data from the Dairy Farm Monitor Project supports farmers to establish a long-term view of their farm’s performance.
“Over the past 20 years, the Dairy Farm Monitor Project has built a valuable set of farm-level data, helping participating farmers track their performance over time and contributing to our broader understanding of farm production, profitability and emissions.”
“It’s encouraging to see improved profitability among participating farms in South West Victoria and Gippsland following some challenging seasonal conditions, and we’re pleased to see participation in the project continuing to grow, from 80 farms last year to 90 this year and an expected 110 next year.”
Upper Murray dairy farmer Evan Nicholas has been a participant in the Dairy Farm Monitor Project since it began 20 years ago and believes the data it gives his farm helps his farm business make sound decisions.
“Having 20 years of data gives us a really clear picture of how our farm has changed and where we’ve improved,” Nicholas said. “It helps us look at things like feed costs and production year-on-year, understand what’s working for our business and make better decisions about where we go next.”
To read the full report, visit Dairy Farm Monitor Project.