Mrs Hancock said the NSW government commissioned the study, Growing the NSW Dairy Industry, to explore on-farm and supply chain growth opportunities, alternative marketing options and business models for investment.

“The NSW Liberals and Nationals Government is putting in place real-world solutions to help grow one of the South Coast’s largest industries,” Mrs Hancock said. 

“The report has emphasised the current opportunities in the domestic market with a growing population and demand for milk. 

“It found that the ongoing need for milk and NSW’s cost efficiencies in freight compared with Victoria should underpin price stability into the future.

“Export opportunities exist for investment in large-scale production facilities in areas with a competitive advantage in feed, transport and environment.”

Mrs Hancock said the state government was launching a new Dairy Industry Fund, which would invest more than $1 million during the next five years back into projects and initiatives to grow the dairy industry.

“This exciting initiative will provide funding for projects that can demonstrate a value-add to any segment of the dairy industry supply chain,” she said.

“An advisory committee will be appointed – with members from Dairy Connect, NSW Farmers and other groups – to ensure the funds are invested according to industry priorities.

“This important sector produces more than one billion litres of milk and contributes $1.25 billion to our economy each year, which is why the NSW government has put in place measures to ensure its long-term resilience, profitability and sustainability,” Mrs Hancock said.