Key Takeaways:
- The Australian horticulture sector could add $1 billion annually in value through innovation adoption according to the latest report by Hort Innovation
- Industry value added could grow from $8 billion today to $22 billion by 2040
- Four focus areas identified: cost analysis, data automation, AI, and mechanisation
- Case studies and an Excel modeling tool aim to help growers evaluate opportunities
- Report encourages scalable efficiency strategies for farms of all sizes
Hort Innovation Identifies Key Innovation Pathways for Sector Growth
Hort Innovation and the Centre for International Economics have released a new report outlining how increased adoption of productivity-enhancing technologies could significantly benefit the Australian horticulture sector. According to the report, if the industry embraces key innovations, it could generate an additional $1 billion annually in value added, reaching a total of $22 billion by 2040.
With over 12,000 businesses making up the current $8 billion industry, the report positions productivity improvements as essential to long-term sustainability and competitiveness.
Four Strategic Focus Areas for Productivity Growth
The report, titled Factors Driving Productivity, outlines four priority areas where innovation can support growth:
- Production cost analysis: Building better systems for assessing and managing costs
- Automated data collection: Streamlining operations with consistent, scalable insights
- AI-driven decision-making: Leveraging advanced analytics to inform business choices
- Widespread automation: Deploying mechanised solutions across farms of all sizes
These focus areas were identified through historical productivity trends, with the horticulture sector experiencing 0.5% to 1.5% annual growth over the past 30 years—slightly above the broader agriculture sector’s average of 0.88%.
Grower Perspectives and Tools for Implementation
Hort Innovation CEO Brett Fifield emphasized the report’s real-world relevance, noting that many growers are already experimenting with innovation and that existing R&D projects are aligned with the report’s findings. “There is opportunity for every grower, no matter the size of their business,” Fifield said.
One grower, Harrison Rowntree of Longridge Olives, shared how a focus on efficiency has shaped his family’s farming practices. “The only way to do more without hiring more people is to look for ways to automate what you have or find ways of doing it faster,” Rowntree noted.
To support growers, the report includes an Excel-based scenario modeling tool, allowing businesses to explore how different innovation adoption strategies could impact their productivity outcomes.
Hort Innovation Encourages Industry-Wide Engagement
Hort Innovation sees the report as a springboard for future investment, emphasizing that further work will be shaped by grower needs. With many of the outlined strategies already underway in pilot or research phases, the organization aims to expand its efforts in supporting innovation-led growth across the sector.
By highlighting tangible pathways and offering accessible modeling tools, the report encourages both established and emerging growers to consider new approaches to efficiency, profitability, and long-term resilience.
Read the complete report here.
