Demand for Australian organic produce continues to grow

The agriculture industry in Australia is a fundamental part of our nation's economy, however it's one that constantly has to shift with the times. People around the world are beginning to demand purity in their food, and as a result, Australia's biggest organic certification agencies are welcoming increased interest in the organic farming sector, particularly as China's growing middle class cries out for clean, green and safe produce.

Australia is home to the largest supply of organic-certified farmland in the world, according to IBISWorld's December 2014 Organic Farming market research report, yet The Australian reported on November 27 that just 1.25 per cent of the nation's total agricultural output comes from organic producers.

Room for growth

As you can see, there's plenty of room for expansion into the organic space - in fact, the NSW Department of Primary Industries estimates annual growth of up to 20 per cent per year. National Association for Sustainable Agriculture Australia General Manager Ben Copeman was optimistic in his comments to The Australian.

"We're in for a seriously big boom. I'm talking 10 to 15 years of pretty good returns for organic producers," he said.

Breaking down trade barriers

The finalisation of the China-Australia Free Trade Agreement (ChAFTA) in September of 2015 is expected to make things easier for both sides, with the elimination of various tariffs of particular importance to Australian producers.

Where Chinese companies have a history of contamination scares, leading to a general feeling of distrust among citizens for their own produce, Australian organic farmers now have easier access to the emerging high-income sectors of the country's populace. Beef and dairy in particular are predicted to benefit from the ChAFTA, but more luxury products like wine and spirits are also expected to see significant growth.

Whether you're currently a certified organic producer, or are considering diversifying your land to address a rapidly growing market, you're going to need the right farm insurance cover to protect your livelihood.