A survey of 150 farmers found that costs were the major reason for concern, followed by long working hours and then labour shortages.
The research was carried out by Curtin University in 2023, with most of the surveys carried out in Victoria, the most populous state for the dairy industry.
The number of registered dairy farms in Australia fell from 6308 in 2014 to 4420 in 2022.
The study uncovered a level of dissatisfaction among dairy farmers.
“The majority of dairy farmers did not express positive levels of satisfaction with the industry,” the report found.
“However, some dairy farmers gave strong support to their industry, which reduced the likelihood of them considering transitioning away from dairy farming.
“All farmers recognised that there were significant challenges, in particular rising costs, which represented a major strain on their mental health.
“As a result of this situation, although a significant proportion of farmers were open to transitioning away from the dairy industry, especially to alternative agricultural businesses, and would value government support in making such a transition, they were not ready to take this risk because they believed that it would not be profitable compared to dairy farming or that a full transition would not be possible.
“The results indicated that the majority of the farmers, 55 per cent, did not express positive levels of satisfaction with dairy farming.”
Curtin University’s Adjunct Professor Clive Phillips said most farmers surveyed (54 per cent) were open to exploring other agricultural enterprises — primarily cropping and beef — with many believing dairy farming in Australia was not sustainable.
“The most common reason for considering transition was ageing/health problems, labour shortages and increasing costs,” he said.
“More than a third (36 per cent) were interested in transitioning to horticulture or another business venture if there was government help, however financial and technical assistance were seen as more important than government support.”
In the study, the average number of dairy herds was 381, with the herd size ranging between 55 and 3500 cows.
The average property size for the study sample was 395 hectares, ranging from 20 to 4500 hectares.
Read more about the study, from the report’s authors, at: https://theconversation.com/new-research-reveals-why-some-australian-dairy-farmers-are-considering-leaving-the-industry-244819
WHAT THEY SAID
Some farmer comments from the study:
“Stage of life, extreme workload, and long hours. Shortage of labour and high stress.” (Victoria)
“I [am] just having a bad time, can’t find staff, I’m just over it. Too long hours not enough family time.” (Victoria)
“Input costs, capital outlay, return on investment and red tape which pushes our costs higher.” (Tasmania)
WHY THEY’RE LEAVING
Reasons given for exiting the dairy industry (ranked in order):
- Rising operational costs.
- Long working hours and minimal down-time.
- Labour shortages.
- Unpredictable weather patterns.
- Impacts on mental health.
- Unstable milk prices.
- Changing consumer demand.
- Climate change uncertainty.
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