How strong is Australia's organic farming sector?

Agriculture has been one of the mainstays of the Australian economy for many years and organic farmers are likely to be among those on the lookout for farm insurance. Organic farming methods have gone from strength to strength, as demand from consumers and greater environmental awareness spur the sector to look at alternative methods.

There is increasing potential for Australian farmers to make the most of organic export markets, explained Professor of Sustainability at Bond University Tor Hundloe.

Speaking to ABC on October 28, he revealed that his research has shown Australia has the most organically farmed land in the world. As an indicator, Argentina, which was second on this list,had five times less than Australia.

Organic farming is increasingly popular.

Is this a recent trend?

The Australian Bureau of Statistics (ABS) reveals that the organic food and farming industry has been around for at least 20 years. However, it has been gathering pace over more recent times.

Figures from IBISWorld show the market has experienced an annual growth rate of 11.1 per cent over the past five years and now directly employs around 9,024 people.

Industry revenue in the 2014-15 financial year alone is expected to reach $613.3 million, which would mark a rise of 9.2 per cent from the previous 12 months.

How strong is consumer demand?

The Department of Agriculture's Australian Food Statistics report for 2012-13 found that consumer demand for organic produce is now being felt throughout the entire supply chain. This is partly a result of the country's changing demographic, as some groups have more of a role to play than in the past.

Younger consumers are major influencers in food culture, and are generally conscious about the types of products they buy and eat. Their interest in sustainability could perhaps be one of the main reasons organic produce has become so prominent over the past few years.

The ABS also suggested organic farmers are becoming more innovative in the way they get their products into the wider market. Farm gate sales and a presence in small, independent shops are both ways of introducing the masses to organic alternatives to everyday produce.

If you're an organic farmer looking to protect your operations, finding the right farm insurance and local insurance agent who will take the time to understand your specific needs will give you peace of mind.