Unprecedented conditions leading to record exports of Australian agriculture products
CANBERRA -- The gross value of Australia's agricultural production is forecast to reach a record A$78 billion in 2021-22, according to Federal Government estimates.
The A$5.4 billion upward revision from official outlook issued in September is the result of further improvements in domestic growing conditions, downgrades for key overseas competitors driving prices higher, and steep increases in logistics and fertiliser costs worldwide, the Department of Agriculture says.
Prices are at multi-year highs for many agricultural commodities.
In its report, the Department says many of the factors driving international prices are driven by poor seasonal conditions, so there is considerable uncertainty how long prices will remain at these levels - posing a risk to the forecast values being realised.
The value of agricultural exports is forecast to increase by 27% to reach a record of just over $61 billion in 2021-22, with higher export volumes and higher prices forecast for almost every major export commodity.
This is an upward revision of $6.5 billion since the outlook issued in September and the largest revision ever made to exports.