Alpaca Industry

 

Alpaca statistics from 2004

Summary

The alpaca industry in the AlpValleys Region had a GVP of $321,000 for the 2003/04 financial year (based on survey responses). In the regional context it is a small contributor to the agribusiness economy. Although developing in the region, it is most often a secondary activity to other farming.

Generally 80 % of alpacas are in herds of less than ten animals. Many owners are small breeders who want to be part of a young, new industry.

The Australian Alpaca Association Victorian Eastern Region has the largest membership of alpaca breeders. Within the AlpValleys region, there are approximately 20 growers/breeders.

Industry overview

Detail

Comments

Product description

The alpaca industry in the North East is currently in a phase of breeding with the intention of developing a fibre industry from alpaca fleece production. It is a farming activity that can be conducted complementary to primary farming activity such as beef livestock, or on a large scale as the sole agribusiness activity if the producer is well educated and has the correct setup and contact network.

Main season

Not seasonal.

Industry associations

Australian Alpaca Fibre Ltd, Australian Alpaca Association (AAA), Australian Alpaca Fibre Marketing Organisation (AAFMO).

Domestic market information

The average per unit price last financial year was $8,000 per alpaca. Main purchasers include other breeders and new generation farmers.

Export market information

Around 5% of total output for Alpaca farmers surveyed was exported to New Zealand, at the same domestic price of $8,000.


Source: AAVAF Survey 2004

Projected alpaca industry growth

Source

Indicator

Comments

Surveys

Current profitability

Larger establishments reported very high profitability, while those on a smaller scale reported very low profitability.

5 year business plans

No change.

5 year business outlook

Business outlook varied depending on the size of the Alpaca farm. Larger farms stated their outlook was very good, while smaller scale producers, that farmed alpacas as a secondary activity, stated a satisfactory outlook.

Business planning / budgeting

Business planning varied from no planning to planning for the next 2 to 3 years.

Age of producers

Ranged from 40 to 59.

Capital expenditure 2002-03 financial year

Not stated.


Source: AAVAF Survey 2004

Alpaca Industry labour requirements

Detail

Comment

Estimate of labour employed directly

As a small scale industry, it was noted that usually owners were not fully employed in the business. Survey responses indicated that 2 casual employees were recorded for the seasons of spring and winter for a large scale producer.

Areas of indirect employment

Transport contractors are used on occasion.

Labour market issues

It appears that there is limited requirement for labour beyond casual positions in spring and winter. Education in fleecing is vital to the quality of alpaca fibre produced.


Source: AAVAF Survey 2004

Alpaca industry marketing activities

Source

Detail

Comments

Surveys

Marketing undertaken

Marketing is mostly done through the growers’ networks and associations.

Value adding activities

As part of the Australian Alpaca Fibre Limited (AAFL) cooperative, some producers in the region undertake the manufacturing of clothing and household goods.

Labels and brands

‘Uniquely Alpaca’, ‘Australian Alpaca’.

There is a very strong market for alpaca product both in Australia and internationally. Supply falls well short of demand. Australia has already developed past the cottage industry stage and now has the facilities and infrastructure in place to value-add to the local clip.

Alpaca industry strategic advantages and opportunities

  • The long-term prospects of the Australian alpaca industry will depend on the production and marketing of a high value fibre, which meets processors and consumers requirements. Australia's alpaca industry has a herd of approximately 30,000, the largest Alpaca herd outside of South America.
  • A growing industry with a relatively strong support network at a national level.
  • Survey comments regarding the advantages of alpaca farming in North East Victoria included the good climate of the region and proximity to major markets such as NSW.

Alpaca industry strategic disadvantages and impediments to growth

  • Education is a key concern for the industry as a whole. Being able to assess and prepare alpaca fibre is becoming increasingly important, as animal values are increasingly tied to the quality of their fleece.
  • There is now both a demand and a need for specialised training in alpaca clip preparation.
  • The AAA provides training sessions in every state for members sporadically, and is looking to increase these services.

 

 
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