The Commonwealth Bank has released its sixth Commonwealth Bank Agri Insights report and it shows one of the strongest results to date, with farmers intending to increase investment across the majority of aspects in their operations. Source: AFDJ eNews
According the report nationally the Agri Insights index is sitting at 10.2 points, the second highest index to date. This is underpinned by robust producer intentions particularly across the financial and physical aspects of farming.
For this latest report the bank asked Australian farmers about digital technology and their attitude to data sharing, a ripe topic of discussion in this new age of agtech.
It sought farmers’ views on the value of using digital technology in their farming operations and sharing their data among their farming peers.
What they learned is that farmers are quite open to sharing data, seeing themselves less as competitors and more as part of an ecosystem that works together to stay competitive on a global scale.
This year the Australian agriculture sector is riding some highs and some lows, from challenges around dairy pricing, to abundant rain in many states.
The data represented in the report was collected prior to the recent adverse weather conditions which farmers have been experiencing.
Throughout all this, our farmers are focused on the future.
Financial investment intentions for Australian farmers remain positive, with investment in farm technology and innovation high on the agenda.
Intentions around the engagement of contractors and consultants are still positive, but have eased from this time six months ago. Education and training remains a priority for Australian farmers.
New South Wales
The New South Wales Agri Insights index is positive, currently ahead of the national index, but slightly down since this time six months ago.
New South Wales farmers are keen to use farm data to improve their own businesses and to share learnings with other farmers, but some say they are uncertain how to use the data they collect.
Capital improvement is also an area of focus for farmers in New South Wales. They are among the most likely in the country to invest in both fixed infrastructure and plant and equipment across their farming operations.
Victorian farmers’ investment intentions continue to ease. The index reflects a tougher period for the state, but is still notably positive.
Investment intentions remain positive across most measures, particularly around capital investment and education, speaking to a longer term focus for Victorian farmers. There is also an upward trend for farmers in Victoria around investment in training and education.
Farmers in Victoria are also among the most likely to say they are early adopters of new digital technology, and also the most likely to see it as a source for benchmarking their data.
The latest Agri Insights Index for Queensland is slightly ahead of the national index and a significant recovery compared with the index six months ago.
Queensland farmers think digital technology adds value to their operations and they’re happy to share their data, especially because they see it as a way to learn.
As conditions improve in parts of Queensland, farmers in the state are starting to reinvest in their farms, with a particular focus on technology and plant and equipment.
The overall Agri Insights Index for South Australia currently sits at the highest index the state has seen to date, underpinned by record-high intentions across several measures.
Farmers in South Australia recognise the value digital technology can bring to their operations and are happy to share their data with others.
South Australian farmers are three times as likely to say they’ll hire more staff and twice as likely to hire more contractors compared to the national average, signalling employment opportunities in the South Australian agri sector.
Western Australian farmers’ investment intentions have strengthened over the past six months, with the index above the national average. This is underpinned by positive investment intentions across almost every measured element.
Western Australian farmers are the most eager in the country to acquire more land, but they’re also the most likely to invest off farm. Their intentions around employee numbers have also firmed in the past six months, sitting above the national average.
There is also a continued focus on technology investment within their farming operations, particularly fixed infrastructure and farm technology.
Farmers in Western Australia are the most likely to increase their area of land over the coming 12 months, while those in New South Wales and South Australia are leading the nation when it comes to fixed infrastructure and plant and equipment intentions.
The latest Agri Insights Index for Tasmania continues a trend of above-average results despite easing somewhat since the last index was released. The strong index is underpinned by positive intentions around the physical aspects of farm operation.
Tasmanian farmers continue to display a strong appetite for technology investment, and they see digital technology as a valuable contributor to their operations.