Dairy farmers in South Australia’s Mid North and Barossa Valley regions, say their numbers have finally stabilised, after years of rapid decline.
Two decades ago there were around 70 dairies in the region, but now the number is down to just 16.
Andrew Koch, Chair of the Mid North Barossa Dairy Co-operative, says it’s the result of a changing industry.
«There was a period where the milk market changed from cans, to bulk milk pick-ups, that was a time where producers decided they weren’t going to invest in stainless steel,» he says.
«There was another time when effluent system were mandatory on dairy farms and another group of suppliers chose not to invest.
«But more recently a lot of it has probably just been profitability.»
Mr Koch says the Mid North and Barossa aren’t easy regions to run a dairy farm, with lower rainfall levels, compared to places like the Adelaide Hills.
But he says it’s been hard to see so many farmers leave the industry.
«I think any industry would agree it’s hard to see suppliers leave,» he says.
«But we’re working in it ourselves, we totally understand why each and every one makes the decision that they do.»
Mr Koch says the industry is now feeling cautiously optimistic as numbers and the milk price both stabilise.
«It’s no secret that all of the milk companies are desperately seeking milk,» he says.
«So that’s underpinning confidence a little bit.
«It will be interesting to see next month, when opening prices are revealed, what it’s looking like for the next coming financial year.»
Source: ABC
