Dairy Systems

The Australian dairy industry has the third highest gross value of production of all the primary industries. Dairying is largely concentrated in Victoria (65% of total national production), and uses pasture as the main feed source for lactating animals. Dairy businesses are under increased pressure to maintain profit margins and sustain the quality of natural resources in the face of climatic variability and climate change, decreased water allocations, increased input costs (especially feed grains), labour supply shortages, and volatile milk prices. Meeting these challenges requires sophisticated understanding of how dairy production systems are constructed and managed, and what drives profitability.