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Victoria and the Dairy Industry: A Brief Overview

Victoria and the Dairy Industry: A Brief Overview


Victoria and the Dairy Industry: A Brief Overview

Victoria is undoubtedly Australia’s largest dairy-producing state. It produces approximately two-thirds of the milk from just 3 per cent of the landmass. In fact, this industry may be identified as Victoria’s largest agricultural industries. In recent years, the gross value of production was estimated to be 20 per cent of the region’s aggregate agriculture output. In fact, not many food-producing countries in the world can boast such a strong dairy presence. Additionally, 4,000 dairy farms have regularly provided close to 6.2 billion litres of milk. This is the main reason why Victoria is popularly known as ‘Australia’s dairy heartland.’

Statistics of Victoria’s Dairy Industry

  • 4,126 dairy farms were recorded in Victoria in 2015.
  • In 2015, the number of dairy cows amounted to 1.1 million per head.
  • The total value of dairy exports in the trading year of 2016 to 2016 was $1.9 billion.
  • The amount of milk produced in 2015-16 was approximately valued at $2.65 billion.
  • If the gross value of the dairy processing is taken into account in Victoria, $7.7 billion would be the output.

Australian Milk Production by State

As mentioned before, Victoria is the leading producer of dairy products in the nation. Over 62% of the total amount is contributed by the state. Following in Victoria’s footsteps is the state of New South Wales. It contributes approximately 14% of the total production.


Victorian milk is used to produce a wide variety of products, including
• Fresh milk and cream
• Bulk cheese and speciality cheeses
• Whey and other milk proteins
• Milk powder
• Infant formula
• Yoghurt, fermented milk and ice cream
• UHT and extended shelf-life milk
• Butter, fats and oils.