The growing demand for grain, red meat and dairy in Asia – as a result of its expanding middle class – could see Australia’s grain industry increase global wheat exports income from $5.7 billion to $7 billion by 2030, according to new research by Anz (www.anz.com).
The grains-focused report, “The Grains Muster”, says that while human consumption of grain is significant and has increased globally, future prosperity of the Australian grain sector will be bolstered by two key drivers; the drought in Australia reducing the ability to support grass-fed cattle, and a dramatic increase of people in Asia shifting their diets to consume red meat and dairy.
In order to achieve an aggressive growth scenario the report states Australia would need to increase wheat production by 20% from 25 to 30 million tonnes over the next 14 years.
Key driver of grain demand in China and South East Asia is wheat based food production, namely, noodles, breads and bakery.
