Australia’s investment in agricultural research and development has reached almost $3 billion in 2023-24, the latest ABARES release has shown.
This long-term commitment will lead to improvements in agricultural productivity, sustainability and modernisation.
The private sector accounts for the largest growth in investment in the sector, with a nearly 5% annual growth rate from 2005-06.
ABARES executive director, Dr Jared Greenville, said ABARES’s latest data, Agricultural research and development (R&D) investment in Australia – 2023-24 update, found total agricultural R&D funding was increasing steadily, largely from the private sector.
“Agricultural R&D investment is what underpins innovation in the sector, and the flow-on benefits for farmers are considerable,” said Dr Greenville.
“We know that every $1 invested in agricultural R&D, generates an almost $8 return for farmers over 10 years, which is a great incentive for the private sector to make these important investments.”
According to ABARES, total agricultural R&D funding has continued to increase gradually, from $2.91 billion in 2022-23 to $2.98 billion in 2023-24.
“Overall, investment in agricultural R&D is increasing steadily, but we’ve seen the private sector just overtake the public sector as the main funder of agricultural R&D investment,” said Dr Greenville.
“There is a healthy mix of public and private R&D investment, reflecting a strong and robust innovation system with a good mix of long-term discovery research and practical commercialisation of technology.
“Private sector investment has the advantage of focussing on commercialising new technologies, so it has far-reaching benefits for Australian farmers.”