The agricultural area under organic agriculture in Australia stood at 35.08 million hectares in 2023. Over the years, the trend generally indicated significant growth until 2017, with variations such as an 88.53% increase in 2014 and a 31.31% increase in 2017. Post-2017, the growth stabilized, with the area plateauing at about 35.69 million hectares between 2018 and 2021. However, a gradual decrease started in 2022, continuing into the forecasted period, showing a marginal decline year-on-year from 2023 to 2028. Over the last two years up to 2023, the agricultural area experienced a cumulative decline of approximately 1.7%. The compound annual growth rate (CAGR) for the last five years reflected a negative trend of about -0.34%, and the forecasted CAGR for the next five years predicts a further decline at a rate of -0.62%, resulting in an overall decrease of around 3.06% by 2028.
Future trends to watch for include the impact of policy changes on organic farming incentives, technological advancements in organic farming practices, and potential shifts in consumer demand for organic products which could either exacerbate or mitigate the declining trend in the organic agricultural area in Australia.