Health concerns and heightened consumer interest in the benefits of natural and whole grain foods will help underpin future demand for Australian oats, according to new AEGIC analysis.
AEGIC’s new report, Opportunities and risks for the Australian oats industry, provides up-to-date oat market insights and provides key recommendations for the industry to help maintain markets and capture future opportunities.
Lead author of the report, AEGIC Markets Manager Sean Cowman, said the outlook for Australian oats was positive.
“The domestic oat milling industry provides a solid foundation for Australian oat growers, and the export outlook looks bright,” he said.
“Australia is likely to remain a key global supplier of oats with an excellent reputation across many export markets for producing clean, dry and bright-coloured grain.
“Consumers across the world are increasingly aware of the significant health benefits of Australian oats and this will put Australia in a great position to maintain and grow markets for our clean, healthy oats.”
The report urges the Australian industry to keep engaging with Chinese oat buyers to ensure their quality needs continue to be met. Australia is already the main oat supplier to China and it is overwhelmingly the largest growth opportunity for Australian oats.
Mr Cowman said continued engagement with other oat markets in South East Asia to diversify market options and reduce reliance on a single large market would be valuable.
“It will be important to support the supply of and demand for Australian oats that continue to be valued by its traditional and emerging markets through regular market visits and technical programs that provide beneficial two way and detailed information exchange,” he said.
“This includes programs to broaden the use of oats into viable lunch and dinner options, for example AEGIC’s oat noodles and oat rice.”
The report recommends that Australia closely monitor competitor activities and market developments to ensure the industry is well-placed to respond to market access changes and other risks. The report also advises that continued support for Australia’s successful oat breeding programs would be important, along with new innovation activities.
“Organisations such as the Western Australian Department of Primary Industries and Regional Development (DPIRD) and the Grains Research and Development Corporation (GRDC) are investing in new opportunities for increased oat innovation and value-adding,” Mr Cowman said.
AEGIC is an initiative of the Western Australian State Government and Australia’s Grains Research and Development Corporation.