AGEN2002 Lecture Notes - Lecture 1: Cadbury Dairy Milk, Volatiles, Barramundi
AGEN2002 Notes
1) Fresh Produce industries in Australia
Ø Many drivers of trends of consumption: perception of health benefit, convenience, price
Ø Innovation in suitable & ethical production, value adding, supply chain, quality required to
increase Australia’s global competitiveness
Characteristics of fresh produce
• Perishable
• Long lead times (time between initiation & completion of production process)
• Seasonable production
• Quality variations between producers and plots
• Fast handling
• Short delivery time to preserve freshness
• Special storage conditions
• Special packing demands
Dairy industry (global)
• Global demand for dairy is increasing (~ 800 Mt/year in 2013 from ~500 in 1983)
o Population growth
o Rising income
o Urbanization
o Western diets in developing countries (e.g. China, India)
• India is the world’s largest milk producer (18% of global)
• Most expansion in South Asia since 1970s
• Highest milk deficits: China, Italy, Russian Federation, Mexico, Algeria, Indonesia
• Volatile (statistical measure of tendency of market to rise/fall sharply within a short period
of time) due to long lead times
Dairy industry (Australia)
• 3rd largest rural industry
o $13 billion farm, manufacturing, export
o farmgate value $4 billion (net value of the product when it leaves the farm, after
marketing costs have been subtracted)
• ~ 6700 dairy farms: Production of 9.7 million L of milk annually
• Employs 43,000 (on farm & factories); 100,000 indirect employment
• Export milk powder to Asia
Trend in dairy products
• Milk: increase full cream, decline in low fat; increase in branded & flavoured (coffee)
Document Summary
1 ) f re sh p rodu ce i ndus t rie s in au st ra lia. Many drivers of trends of consumption: perception of health benefit, convenience, price. Innovation in suitable & ethical production, value adding, supply chain, quality required to increase australia"s global competitiveness. Long lead times (time between initiation & completion of production process: seasonable production, quality variations between producers and plots, fast handling, short delivery time to preserve freshness, special storage conditions, special packing demands. Dairy industry (global: global demand for dairy is increasing (~ 800 mt/year in 2013 from ~500 in 1983, population growth, rising income, urbanization, western diets in developing countries (e. g. china, india) Horticultural produce (australia: highest production in qld > vic > s. au > nsw > wa > tas > act. Irrigated horticulture more coastal: export highest to hk > eu > middle east > jpn > singapore, exports most citrus fruit > potato > banana> stone fruit .