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Building a world-leading, climate-smart agriculture industry

Department of Agriculture, Fisheries and Forestry
18 August 2023

A commitment by all agriculture ministers to provide leadership and work together with our agricultural sector.

Cows at sunset

The Australian agricultural sector is at the forefront of climate change impacts and opportunities.

Our farmers work under some of the harshest environments and most variable climates on earth. As the climate continues to change and extreme weather events become more frequent and intense, a shared commitment across governments to pursue a climate change response, underpinned by climate-smart practices, is paramount.

We all have a role to play in our climate response, including helping Australia transition to a net zero economy.

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A top priority for governments is to work with industry to drive a climate change response underpinned by climate-smart practices. This is critical to the growth of a sustainable and profitable agricultural sector.

That is why all agriculture ministers have jointly endorsed Australia’s first National Climate Change and Agriculture Statement.

It marks a commitment by agriculture ministers to work with the sector to help Australia achieve its full potential as a world-leading, climate-smart producer and exporter of food and fibre.

Managing climate impacts on agriculture

Aussie farmers are important environmental stewards, committed to healthy, productive and sustainable farming systems for future generations.

The sector employs more than 230,000 people, many of whom are located in rural and regional Australia.

In 2021-22, Australia had 87,800 agricultural businesses (ABS 2023). According to ABARES 2023 data, this includes:

16,200

grain, oilseed, and pulse farm businesses

33,500

beef cattle, sheep, and wool farm businesses

4,700

dairy farm businesses

9,800

fruit, nut, and vegetable farms (including wine grape growers)

23,600

other enterprises, including sugar cane, pig and poultry farmers, nursery and turf growers, hay and silage farming

Our farmers are adopting new practices to reduce emissions, build climate resilience and strengthen sustainability, to respond to climate risks, secure their future and remain globally competitive.

This is critical to maintaining and growing export markets and achieving the industry target of a $100 billion agriculture sector by 2030.

Coming Up Apples – Improving climate resilience in NSW

Orchardist

The hot, catastrophic summer of 2019 to 2020 followed an extended dry period for much of New South Wales. This resulted in reduced water availability across many orchards.

Ian, a fruit grower based near Orange, recognised the need to build the climate resilience of his business. He partnered with the NSW Department of Primary Industries on its Climate-smart Horticulture Pilot.

The pilot aims to increase resilience to climate change by improving the understanding and adoption of digital agricultural technologies.

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Weather station

As part of the pilot, Ian made use of a range of technologies, including…

…soil moisture monitors to provide essential information for good irrigation management…

Canopy sensors

…temperature and humidity sensors within the canopy to help monitor disease-favouring conditions such as high humidity…

...and automatic onsite weather stations.

Data collected was then accessible through a dashboard on Ian’s phone.

How the data was used

Data from the soil moisture sensors showed that the drip irrigation on one block provided improved water efficiency compared with traditional surface sprayers in other parts of his orchard.

According to Ian, if the information had been available to him sooner, ‘… it would have motivated me to make the change in irrigation systems earlier, and perhaps it would have saved some of the blocks where production was sacrificed’.

This pilot is part of the Primary Industries Climate Change Research Strategy and has been funded by the NSW Government Climate Change Fund.

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Frontline rangers

Working with First Nations peoples

First Nations peoples have cultural and communal responsibilities that involve caring for and protecting Country.

Having cared for Country through Australia’s changing climate for millennia, their knowledge is vital for tackling climate change.

Frontline rangers on the beach

First Nations peoples have a significant role to play in furthering Australia’s resilience to climate change.

As producers and through activities such as fire management, ranger programs, biosecurity surveillance and biodiversity restoration.

Valuing First Nations peoples and practices

The WA grain belt is the largest agricultural area in the state and a key contributor to the Australian economy. Through the Australian Government’s Future Drought Fund, 3 regional drought resilience plans are in progress in the region.

Drought resilience plans
Carol Petterson, Menang-Ngadju Elder in the Southwest of Western Australia

Consultation with local Traditional Owners, the Noongar and Southern Yamatji, reinforced the need for drought resilience plans to recognise and represent the needs of Aboriginal communities who speak for Country.

First Nations representatives
Drought impacts and resilience-building activities were discussed with First Nations land holders and other interested parties during a series of interviews, workshops and meetings. (above and below)

First Nations representatives shared their concerns about the damage to the natural environment, the impacts of settlement and the subsequent effects of drought and climate change.

First Nations representatives

Priority actions focused on:

  • increasing the resilience of First Nations communities through on-Country restoration programs
  • connecting communities on Country
  • providing opportunities to share intergenerational cultural knowledge
  • developing business opportunities in bush food enterprises, tourism and other culture-based economies.
WA wheatbelt

Contributing to a net zero economy

The Australian Government has legislated an emissions reduction target of 43% below 2005 levels by 2030 and committed to Australia reaching net-zero emissions by 2050.

Australia’s emissions reduction targets will require action across the whole economy, with Australian agriculture playing an important role.

According to the National Inventory Report Volume 1, in 2020-21 agriculture produced 16.8% of Australia’s net greenhouse gas emissions.

Agriculture greenhouse gas emissions include roughly:

Methane emissions

79%

Mainly from fermentation of plant matter in the digestive system of ruminant livestock

Nitrous oxide emissions

18%

Caused by fertiliser use and manure management

Carbon emissions

4%

Caused by urea application and lime use

At the farm level, agricultural activities can also produce and remove emissions that are accounted for in other sectors of the National Greenhouse Gas Inventory. This includes energy and land use, land use change and forestry.

To reduce agricultural emissions, we need continued effort, novel technologies, accelerated widescale adoption of new practices, and new partnerships between government, research, and industry.

There are lower-emissions technologies on the horizon, reflecting significant investment from governments and industry in research and development.

World-first carbon-neutral, pasture-based dairy farm on the way

Cows

The 230-hectare Ellinbank SmartFarm in south-eastern Victoria is Australia’s leading dairy research and innovation facility, fast-tracking technology solutions in a research environment and showcasing them to the dairy sector.

The facility has an ambitious target of being the world’s first carbon-neutral, pasture-based dairy farm by 2026.

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Cow

To support this target, Ellinbank SmartFarm is reducing methane emissions from 450 dairy cows onsite…

…testing promising methane-inhibiting feed additives, including Asparagopsis-based products, 3-nitrooxypropanol and other synthetic products, essential oils and probiotics…

…enabling accelerated phenotyping in commercial herds to identify low methane-emitting cohorts of dairy cows, and subsequent development of a breeding value for low methane.

The growing carbon market

The shift to a net-zero economy will increase demand for land-based carbon offsets.

By participating in a growing carbon market, producers can be paid for storing carbon in vegetation and soils, and for avoiding emissions through practices like waste management and feed additives for livestock.

Producers can also use carbon to reduce the net emissions from their businesses and allocate agricultural land to farm forestry activities.

Well-managed carbon projects can benefit regional communities by providing alternative income streams and supporting improved land management as part of a farming business.

Carbon farming

Favourable sustainability and climate credentials for exporters

Australian agriculture relies on exports. This means that producers must constantly evolve and adapt to meet the new and emerging environmental, social and governance credential requirements of international trading partners and supply chains.

The Australian agricultural sector exports more than 70% of its production, forecast to be worth $75 billion in 2022–23.

Australian Agricultural Sustainability Framework

Through the industry-led Australian Agricultural Sustainability Framework (AASF), the sector can demonstrate the sustainability of its production practices.

By using sustainability credentials that are fair and representative of Australia’s unique climate and growing conditions, the sector will be able to increase and maintain market access for exports and verify that it meets changing consumer expectations locally and overseas.

The AASF is a unique piece of work based on environmental, social and governance (ESG) principles.

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Decorative

Environmental stewardship (E)

Greenhouse gases and air, soil and landscapes, biodiversity, water, materials and resources

Decorative

People, animals & community (S)

Human health, safety and wellbeing, rights, equity and diversity, livelihoods, animal wellbeing, social contribution

Decorative

Economic resilience (G)

Biosecurity, fair trading, good governance

Decorative

Traceability systems then allow data and credentials to be shared along the supply chain to give assurance that our food and fibre products are sustainably produced.

International leadership

Australia is a strong contributor to global alliances and efforts to reduce emissions and respond to current and emerging impacts of climate change.

We have a global leadership role as a constructive and positive climate collaborator and are partnering with industry and other countries to address agricultural risks and opportunities arising from climate change.

Shared global efforts are key to maintaining the agricultural sector’s competitiveness and its ability to access new export markets.

In October 2022, we joined these key international initiatives:

Global methane pledge

Global research alliance on agricultural greenhouse gases (GRA)

Agriculture innovation mission (AIM) for climate

Glasgow breakthrough agenda on agriculture

Forests and climate leaders’ partnership

Global methane pledge

The pledge is a non-binding commitment to contribute to a collective global goal of reducing methane emissions by 30% below 2020 levels by 2030. The pledge has 150 members (as of June 2023). This includes some of the biggest beef, sheep and dairy producing countries in the world.

Australia is taking voluntary actions to reduce methane emissions in the energy and waste sectors. We will also seek abatement opportunities in the agricultural sector, through innovation, incentives and partnerships with farmers. This will support ongoing market access for Australian livestock producers and meet international expectations for improved sustainability outcomes.

Global research alliance on agricultural greenhouse gases (GRA)

Australia is a founding partner of this global research network. It provides a platform for knowledge-sharing between agricultural scientific researchers and policymakers.

The alliance aims to help countries improve agricultural productivity while enhancing resilience, adaptive capacity and greenhouse gas mitigation. It provides opportunities to make use of international projects, expertise and partnerships.

Agricultural innovation mission (AIM) for climate

Focuses on increasing productivity required to meet a growing population and changing climate, while looking after biodiversity.

Glasgow breakthrough agenda on agriculture

Australia endorses the goal to make climate-resilient, sustainable agriculture the most attractive and widely adopted option for farmers everywhere by 2030.

Forests and climate leaders’ partnership

The partnership aims to accelerate global progress to reverse forest loss and land degradation by 2030.

Our path forward

Climate-smart, sustainable and innovative practices are key to the future of Australia’s agriculture industry.

Accelerated adoption and progress across agriculture will help make farming more productive and profitable, better protect our environment, increase access to international markets and strengthen our farming communities.

Discover Australia’s first National Statement on Climate Change and Agriculture

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Credits

Agriculture Victoria Research

ABARES data 2023

ABS data 2023

National Inventory Report Volume 1, Department of Climate Change, Energy, the Environment and Water, 2023

Photo of Carol Petterson supplied by Southcoast NRM

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Page last updated: 18 August 2023

We acknowledge the continuous connection of First Nations Traditional Owners and Custodians to the lands, seas and waters of Australia. We recognise their care for and cultivation of Country. We pay respect to Elders past and present, and recognise their knowledge and contribution to the productivity, innovation and sustainability of Australia’s agriculture, fisheries and forestry industries.

Artwork: Protecting our Country, Growing our Future
© Amy Allerton, contemporary Aboriginal Artist of the Gumbaynggirr, Bundjalung and Gamilaroi nations.

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