Central Queensland land audit reveals road to strong economy

Central Queensland’s economic future will rely heavily on better supply chain management, including providing infrastructure for storage, transport and water, according to the new CQ Agricultural Land Audit released today.

The region is an important agricultural production area dominated by beef cattle production, as well as rain-fed and irrigated cropping, horticulture and forestry, but there are challenges to its growth.

Speaking in Gladstone this morning, Agriculture, Fisheries and Forestry Minister John McVeigh said central Queensland was the first region to be audited as part of the Queensland Agricultural Land Audit due for release next month.

“To achieve the goal of doubling the value of agricultural production by 2040, we need to identify the best land and how to develop it,” Mr McVeigh said.

“The Queensland Agricultural Land Audit covers the state’s 12 regions, based on planning boundaries, and will assess opportunities and constraints including current land use, infrastructure or logistical issues and planning processes.

“It will result in more consistent planning for agriculture and identify unrealised opportunities for prime agricultural land development.

“All leasehold, freehold, State Forest and Unallocated State Land is being assessed, but not non-agricultural land or land suitable for off-farm processing of farming products.”

Mr McVeigh said the CQ Agricultural Land Audit report had been released prior to the full Land Audit report as its findings would underpin the development and implementation of the region’s plan for the future.

The value of agricultural production in the region was $766 million in 2010–11.

Livestock (slaughtering and products) was valued at $491 million, and cropping was valued at $263 million, including cotton at $65 million, wheat at $51 million, sorghum at $33 million and fruit at $29 million.

Mr McVeigh said these industries were facing challenges including significant fluctuations in rain-fed cropping production due to highly variable rainfall.

“Other issues include access to water, transport infrastructure and co-existence with the mining industry in terms of competition in access to labour, services and natural resources,” he said.

“For horticultural crops, the cost of transport is high as there is not a critical mass of produce and transport is required over short time frames. Therefore, it is difficult to leverage competitive transport rates.”

Mr McVeigh said central Queensland’s agricultural economy was largely export driven due to its production of a small number of minimally processed commodities.

“This results in significant exposure to world commodity price movements, competition and changes in export markets and economic patterns,” he said.

“There are also effects on agriculture in the region from the mining sector and urban expansion.

“These factors all impact on availability of land for commercial-scale agriculture and the ability to operate agricultural businesses.

“There are opportunities for this region to target higher value niche markets through enhanced production specifications, such as certified organic beef products.

“There is also potential for additional irrigation development, as both soil and water resources are available subject to construction of further storage infrastructure, future demand for products and water pricing.”

Download a copy of the Central Queensland Agricultural Land Audit at www.daff.qld.gov.au

[ENDS] 8 March 2013

Media contact: Lachlan Millar 0407 394 580