Overview
The dairy industry is Australia’s third largest rural food industry and amongst the largest value-add food industries. It remains one of Australia’s most significant export industries. About 50 per cent of dairy products produced in the country are exported accounting for 11 per cent of the total value of food exports. Major products exported include milk and milk powders, cheese and butter.
Australian dairy producers export approximately one million tonnes of products to 10 countries and generate an estimated $2.5 billion in export income (one per cent of the world dairy trade). Most of Australia’s dairy produce is destined for Asia – 65 per cent of dairy products are exported there.
The Asian markets are very quality conscious and seek new products which Australia can accommodate and respond to quickly due to its proximity to the market and its investment in innovation and cost effectiveness.
What are the key opportunities?
Dairy is a mature and established market in Australia that has experienced much consolidation and rationalisation. Key products exported include processed milk products in liquid and powdered form such as skimmed, butter and whole milk, butter oils, whey powder and whey protein concentrates, casein and cheese.
In recent years new exporting opportunities have arisen, for example speciality cheese to the USA and Thailand following gradual reductions in tariffs and expansion of quotas with the introduction of the Thailand-Australia Free Trade Agreement (TAFTA) and Australia-United States Free Trade Agreement.
Where are the key opportunities?
Priority markets with the greatest opportunities for the Australian diary industry include:
- Japan
- Malaysia
- Singapore
- China
- Philippines
- Middle East
- Thailand
Please see the list of industry country profiles for the dairy industry at the end of this overview.
How can we help you?
With a network of over 140 overseas locations in more than 60 countries backed by highly experienced and qualified staff, Austrade provides a number of dedicated and tailored services to Australian exporters.
Austrade offers practical advice, market intelligence and ongoing support (including financial) to Australian businesses looking to develop international markets. Austrade also provides advice and guidance on overseas investment and joint venture opportunities, and helps put Australian businesses in contact with potential overseas investors.
For further information please contact Austrade on 13 28 78 or email info@austrade.gov.au.
Useful contacts
Government contacts
Australian Quarantine Inspection Service - www.aqis.gov.au
General industry contacts
Dairy Australia - www.dairyaustralia.com.au
Last updated: 12 Jul 2007
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