On The Land
1 November, 2024
Farmers positive on future: survey
FARMERS were concerned about sustained high interest rates and increasing farm production costs, yet remained positive about their farm business and the long-term future of the agriculture industry according to new survey results.
The Australian Government t farm business lender Regional Investment Corporation (RIC) has released the RIC Farm Loans Customer Insights Brief 2024, and it is not all bad news.
RIC chief executive officer John Howard said the annual survey was important to understand farmers’ concerns and the impact of RIC concessional loans.
“Our Insights Brief 2024 reveals high interest rates remain the biggest concern for farmers,” Mr Howard said.
“It’s no surprise that the cost of operating a farm business and challenges posed by market and price volatility are also top concerns.”
However, he said it was pleasing to see RIC low-cost loans were helping to ease that pressure with 79% of surveyed RIC customers using their loan to pay down debt.
“Farmers are using RIC loans to help ease their financial burden by implementing sustainable agriculture practices (62%), expanding the farm business (58%), and improving drought preparedness (58%).”
“Together, these contribute to a more positive outlook, with 89% agreeing that their RIC loan has given them greater confidence in the future of their farm – that’s up from 86% since last year.”
The research also revealed that RIC loans continued to be seen by customers as contributing to regional investment and resilience, with RIC-assisted farmers having a positive outlook for their farm business and the future of the Australian agriculture industry.
“RIC customers agreed their RIC loan has given them greater confidence in the profitability of their farm (89%), and that RIC contributes to resilience in Australia’s regional communities (90%),” Mr Howard said.
RIC Farm Loans Customer Insights Brief 2024 is based on independent research conducted by JWS Research in July 2024 with existing RIC loan customers from across Australia and from a range of agricultural industries.
