Australian grains: financial performance of grain producing farms 2012-13 to 2014-15

Overview
The report was commissioned by the Grains Research and Development Corporation (GRDC). The report draws on data from the ABARES annual Australian Agricultural and Grazing Industries Survey (AAGIS) to provide an overview of production, financial performance and productivity growth of the Australian grains, oilseed and pulse industry from 2012-13 to 2014-15.

Key Issues
• Farm cash income in all three Grains Research and Development Corporation (GRDC) regions is estimated to have declined in 2014-15 as a result of a reduction in winter grain yields and lower prices for wheat, oilseeds and pulses. • Incomes of Australian grain producing farms have been relatively high in recent years, compared with incomes recorded historically. • For Southern region grain producing farms, farm cash income is estimated to have decreased in 2014-15 to average $184 000 a farm; 43 per cent above the 10-year average to 2013-14 of $129 000 a farm in real terms. • Similarly for Western region grain producing farms, farm cash income is estimated to have decreased in 2014-15 to average $262 000 a farm; 24 per cent above the 10-year average to 2013-14 of $211 000 in real terms. • Dry seasonal conditions in the Northern region have resulted in estimated farm cash income of grain producing farms falling to average $79 000 a farm in 2014-15, around 24 per cent below the 10-year average to 2013-14 of $105 000 a farm in real terms. If realised, this would be the lowest farm cash income for Northern region grain growing farms since 2006-07. • Nationally, farm cash income of grain producing farms increased from $189 590 in 2012-13 to $213 100 in 2013-14. In 2014-15 farm cash income is estimated to have declined to average $171 000 a farm, around 24 per cent above the 10-year average to 2013-14 of $137 000 in real terms.