Westpac survey reveals farmers are optimistic about future

Westpac's Agribusiness: Intergeneration Farming Report, which explored how generations of family farmers are leading the charge in regional and rural Australia, 77 per cent of farmers are optimistic about the future of farming.

It also shows that 74 per cent of farmers believe there are either many or unlimited opportunities ahead for younger generations in their family.

Peta Ward, who is the regional general manager for commercial banking agribusiness Queensland, said its research showed 71pc of farmers across the country have increased profitability in the farm since more than a decade ago.

"Prior to this, our regions were faced with prolonged periods of drought before they were hit with floods, so it's incredibly encouraging to hear so many farmers are now flourishing ten years on," Ms Ward said.

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South Australian (82pc) famers experienced the largest increase in physical farm size over the last 10 years compared to 60pc in NSW.

Farmers in Tasmania (94pc), Northern Territory (88pc), Queensland (81pc) and Western Australia (80pc) experienced the highest increase in profitability across the same period.

"Despite significant challenges facing our regions across the country including severe weather and COVID-19, our research shows strong sentiment and opportunities for farmers of all generations," Ms Ward said.

"While COVID-19 created so many unforseen challenges, including impacting supply chains crucial to farmers' distribution channels, it also helped drive more than 70,000 Australians to move to the regions, which has helped shine another positive light on country life.

As a result of changes over the last 10 years, 72pc of farmers have increased new farming practices, while 71pc said they have increased profitability in the farm.

"We're seeing farmers continue to upskill and invest in both technology and machinery to help improve efficiencies and work smarter. In fact, in the 2021/22 financial year, the gross value of agriculture in production is forecast to be a record $81 billion," Ms Ward said.

"We are experiencing strong demand for credit, not only for purchasing farm land but for equipment and property improvements, so combined with high levels of savings during the pandemic, farmers and industry confidence is sky high."

The Land reported yesterday that 28pc of producers want government actions to secure reliable access to water resources and critical infrastructure spending.

More than 400 farmers were surveyed across rural and regional Australia in Westpac's survey.