Priority 1: More Resilient Farm Businesses

Business planning that leads to better decisions and sustained success

A robust and regularly reviewed business plan is essential to manage farm businesses. This forms the basis to set goals, measure farm performance, confidently make decisions and capture opportunities.

We will renew the focus on farm business planning and the supported utilisation of that plan to assist dairy farms achieve their goals.

50% of dairy farm businesses perform systematic, periodic business reviews at least annually

Clear and understood drivers of dairy farm profitability and productivity

The drivers of profitability and productivity can differ between individual farms, regions and production systems. Understanding those drivers, their differences and the levers that can affect them is what will drive margin on farms. This is even more important at times when there is increased volatility and disruption to normal business operations.

We will deliver insights, tools, strategies and support that enables businesses to understand their margin and the profitability and productivity drivers of their farm.

60% of farm decision makers can accurately state the profit metrics for their farm

Expanded range of risk management tools for price and cost volatility

Australia has under-developed tools for securing farm operating margins in an environment of price and cost volatility compared with major overseas competitors. Given the ongoing volatility in Australia, it is important to rapidly improve tools for risk management.

We will build awareness, confidence and greater adoption of risk management tools.

40% of farm businesses are actively using risk management tools to manage exposure to price and cost volatility

Innovation in finance that increases access to capital for expansion and new entrants

Finance is a highly innovative sector and better access to finance is important for dairy businesses seeking finance.

We will expand access to capital and increase business readiness for expansion and new entrants.

80% of farm owners and managers that have tried to access capital agree there is the opportunity to access capital to meet their requirements