Rice and grape growing, seafood processing, cider making, and vitamin and supplement production are leading Australia’s export industry, according to IBISWorld.
The top 20 exporting industries by growth in merchandise exports, excluding services, are estimated to be worth $22.3 billion in 2015-16. Merchandise trade, which excludes services, across all industries has been calculated by IBISWorld to be worth $260.6 billion to the Australian economy, or 15.7 per cent of GDP.
“Analysis conducted by IBISWorld shows that the top 20 fastest-growing exports will rise between 10.6 per cent and 36.3 per cent annualised over the five years through 2015-16,” IBISWorld Senior Industry Analyst Jem Anning said.
Five of the notable industries in the top 20 list include rice growing, seafood processing, grape growing, cider production, and vitamin and supplement manufacturing.
Accounting for 61.5 per cent of industry revenue in 2015-16, Australian rice exports are an incredibly important part of the rice-growing industry, which is estimated to generate revenue of more than $619 million in 2015-16 and increased at an annualised 29.5 per cent over the past five years. By 2020-21, the value of rice exports is anticipated to be $468.1 million, up from $380.7 million in 2015-16.
Exports in the seafood processing industry are forecast to have grown by an annualised 27.3 per cent over the five years through 2015-16 to account for 75.4 per cent of industry revenue in 2015-16.
IBISWorld found rising imports have encouraged domestic seafood producers to focus on exports by capitalising on growing economic prosperity and rising disposable incomes in many Asian nations.
“Australian produce is perceived to be of higher quality and many Asian markets are prepared to pay a premium for produce such as bluefin tuna and rock lobster, increasing revenue over the period,” Ms Anning said.
The grape-growing industry has enjoyed substantial growth in exports over the past five years. In 2010-11, grape exports represented 8.4 per cent of revenue, a figure that IBISWorld anticipates will more than triple to 26.8 per cent by 2020-21.
Australia’s cider producers have enjoyed buoyant export growth over the past five years. Exports made up an estimated 2.9 per cent share of revenue in 2010-11 and are anticipated to reach 5.5 per cent by 2020-21. From 2010-11 to 2015-16, IBISWorld calculated export growth to be 25.8 per cent annualised and valued exports at $16.5 million in 2015-16.
Exports in the vitamin and supplement manufacturing industry are high and increasing, totalling an estimated $365 million in 2015-16. IBISWorld found 26.6 per cent of industry revenue was derived from exports in 2010-11 and anticipates this to reach 42.1 per cent by 2020-21. This growth in exports is likely to be the result of major manufacturers Swisse and Blackmores continuing to expand into Asia, encouraged by healthy overseas demand.
“Asian markets, particularly China, are expected to offer significant growth opportunities for Australian products, valued for their quality, as the burgeoning middle class consumes more imported goods and focuses on greater health awareness,” Ms Anning said.
