Horticulture Industry Strategy

Horticultural industries are important for the economy of Victoria and are key drivers of rural and regional development in many parts of the State. The gross value of Victoria’s horticultural industries is $1.8 billion per annum, which represents 20 per cent of the value of the State’s agricultural production. This value is steadily increasing as water is being transferred from low value uses to higher value horticultural uses. Processing of fruit, vegetables and wine in Victoria adds another $794 million per annum in value to the industry. Exports of horticultural produce and products represent 16 per cent of Victoria’s food exports.

Horticultural industries are also major employers, with 43,000 employed full-time and many others on a casual basis during harvest.

Victoria is a major producer of fruit, vegetables, nursery plants and flowers. Significant exports include fresh produce, and processed products including wine, canned fruit and vegetable juices.

Demand for horticultural products in Asian markets is growing, and there are opportunities to increase exports to other markets. However, some markets do not allow access to certain products. Consumers are also becoming more demanding in their expectations of products.

Competition is also increasing in both domestic and international markets. The globalisation of sourcing, processing and retailing of horticultural products means trade increasingly depends on strategic alliances and supply chain management.

The sustainable development of horticultural industries in Victoria will depend on improving the international competitiveness and export performance of industry sectors, reducing the impact of horticultural production on the natural resource base and enhancing the capability of communities engaged in horticulture to manage change.

Priorities for Action: Victoria's Horticultural Industries 2005-2008

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