Farms & Farm Machinery #385

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Australia is among the
world’s most food-secure
countries, ABARES says
Dr Steve Hatfield Dodds,
ABARES executive director
1. Australia produces more food than it
consumes, exporting approximately
70 per cent of production
2. Imported food products account for
roughly 11 per cent – imported fresh
food and beverages account for
1.6 per cent of food value
3. The BOM seasonal forecast is
predicting above average rainfall
4. A breakdown of exported products
(Images and graphs courtesy of ABARES)
Food security concerns
are understandable but
misplaced.
Despite severe drought, bushfi es and the impacts from
COVID-19, Australia is one of the most food-secure
countries in the world, the latest the Australian Bureau of
Agricultural and Resources Economics and Sciences (ABARES)
Insight report has revealed.
While scenes of empty supermarket shelves here in Australia
have raised ‘understandable’ concerns around our country’s
food supply, the report – which was published on April 17 –
says Australia ranks alongside Germany, Canada and France as
one of the world’s most food secure nations.
In fact, Australia exports roughly 70 per cent of agricultural
products according to ABARES, which in layman’s terms means
Australia produces considerably more food than it consumes.
According to ABARES executive director Dr Steve Hatfield
Dodds Australian food production is higher than consumption
even during drought years.
“Some of our largest industries, such as beef and wheat, are
heavily export-focused,” he says.
“Other industries like horticulture, pork and poultry sell most of
their production into the domestic market, with an emphasis on
the supply of fresh produce,” he adds.
“Australian agricultural production and food supply chains
are adapted to cope with our very variable climate,” Dr
Hatfield-Dodds say . “This results in stable supply for domestic
consumption, while exports absorb the ups and downs
associated with wet and dry periods,” he adds.
Empty supermarket shelves, therefore, suggest not an
indication of food shortages, but instead a result of ‘logistics
taking time to adapt to the large unexpected surge in
purchasing’ the report says.
“The COVID-19 pandemic has taken Australia and the world
by surprise. Coming after severe drought conditions in eastern
Australia, concerns have been raised about Australian food
security. These concerns are understandable but misplaced,” Dr
Hatfield-Dodds say .
Statistics supplied in the ABARES report illustrates that since
2006, Australia has never consumed more than it has produced
in four key food products – wheat, beef, fruit and nuts, and rice.
Interestingly, through this time the country has seen a financial
crisis, bushfi es, severe floods and widesp ead drought.
Encouragingly, the Bureau of Meteorology’s recent seasonal
forecast is predicting higher than average rainfall across
Australia during Autumn and Winter. ABARES says this
could potentially provide the “best agricultural production in
several years”.
“Recent rain and a positive seasonal forecast make it more
likely that production volumes will increase, providing the
best outlook in several years. Global grains stocks are also
abundant,” Dr Hatfield-Dodds say .
The International Grains Council is forecasting that world
wheat, rice, maize (corn), and soybean production will all reach
record levels in 2020–21.”
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EXPORT ISSUES
But could we see issues arise around export and imports? As
mentioned, Australia exports approximately 70 per cent of its
agricultural products and imports approximately 11 per cent of
our food value. (Prominent imported products include frozen
vegetables, seafood products and beverages.)
KEY STATS
• Australia ranks among Germany, Canada
and France as one of the most food-secure
countries in the world.
• Australia produces more food than it
consumes, exporting approximately 70 per
cent of production.
• Only 11 per cent of Australia’s food is
imported – with just 1.6 per cent being
fresh food and beverages
• New International Freight Assistance
Mechanism from the Federal Government
implemented to assist Australian ag
export business.
“These imports play an important role in meeting consumer
preferences for taste and variety,” Dr Hatfield-Dodds say .
“While action is already in train to address key issues, it will be
important for business and government to continue to actively
monitor and manage these emerging risks.”
ABARES states that any potential restrictions or disruptions on
imported food products would be unlikely to have any impact
on the food security of Australia, but rather disappoint or
inconvenience some consumers.
It isn’t quite the same for export. Australia’s agricultural export
equates to $48 billion (2018-19), and the industry has shortages
and disruptions impacting on profitabilit .
However, the Federal Government’s International Freight
Assistance Mechanism should provide some assistance to
agricultural exporters.
The $110 million initiative will see export flights to key export
regions opened. Eligible products include seafood, premium red
meat (including beef and pork), dairy (including fresh milk and
yoghurt) and premium fruits and packaged salad or vegetables.
Return flights will arrive with vital medical supplies such as
medicines and equipment.
The initiative is targeting key export nations such as China,
Japan, Hong Kong, Singapore and the United Araba Emirates.
The Federal Government says that the initiative will help
Australian producers to protect the jobs of those who rely
upon Australia’s export of safe, quality and premium food to
the world.
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