Peppermint industry statistics from 2004
Summary
The peppermint industry in the North East was dominated by two
producers and occupied an area of approximately 400 hectares until
2002. Both key producers in Corryong (Towong Shire) and Moyhu (Wangaratta
Rural City) ceased production due to changes in market demand, falling
yields and falling returns.
The Corryong based producer is re-entering the market with new
plantings (2004) although production levels are unlikely to reach
their former peaks.
North East Region |
1996 – 97
AG Census |
2000 – 01
AG Census |
Gross value of production |
$267,967 |
$506,138 |
Production volume (kg) |
6,038 |
12,051
raw oil
|
Total area of production (ha) |
127 |
398 |
Contribution to Victorian GVP
of commodity |
99.9% |
99.9% |
Contribution to Australian
GVP of commodity |
57.8% |
99% |
Estimated number of farms |
9 |
2 |
Source: ABS Agricultural Census 1997 and 2001, Agricultural Survey
2002
Peppermint industry overview
The peppermint industry of the AlpValleys still continues to provide
100% of the Victorian production, albeit a much smaller volume.
Peppermint is a perennial crop, irrigated, and sown over 30 – 40
ha of Upper Murray River flats near Corryong.
After 2 years out of production, the introduction of new plant
tissue and planting of a new property has renewed confidence in likely
returns.
Location of the peppermint industry in the AlpValleys
region
2001 Ag Census |
%
of GVP |
%
of production volume |
%
of farms for commodity |
North
East Region |
Victoria |
North
East Region |
Victoria |
North
East Region |
Victoria |
Towong Shire |
0.9% |
0.85% |
0.9% |
0.8% |
50% |
25% |
Wangaratta (RC) |
99.1% |
98.19% |
99.1% |
98.2% |
50% |
25% |
Source: ABS Agricultural Census - 2001
This location data was correct at the time of the census,
however all peppermint in the AlpValleys region is now
produced in Towong Shire.
Projected peppermint industry growth
Source |
Indicator |
Comments |
(ABS) AG Census
and survey data |
Growth in production volume 1997
to 2001 |
Value, area and volume of production
increased over the period, although the number of
farms declined. Only 4 farms in Victoria and 8 in
Australia in 2001 census. The region produced 99%
of Victorian output by volume, area and value and
comprises around half of Australian production. Note:
production ceased 2002 until 2004. |
Source: ABS Agricultural Census – 1997 and 2001,
Agricultural Survey 2002
Peppermint industry labour requirements
One person can effectively manage plantings of peppermint
up to 100ha. For the production of oil, 4 – 5 people
are required for mowing, carting, chopping and boiling
(the processing phase).
Peppermint industry marketing activities
Established relationships with wholesale buying are used
to sell the peppermint oil produced in the AlpValleys.
Currently production is targeted at an “Australian
Made” market for better confectionary and cosmetics.
There is strong competition from producers in China and
India.
Some AlpValleys production is also sold to the US – again
via established relationships with US specialist oil companies.
Peppermint industry strategic advantages and opportunities
- Excellent climate, soils and production capability.
- Clean, green image positive for marketing purposes.
- Can be difficult to produce, but this gives competitive
advantage to experienced producers.
Peppermint industry strategic disadvantages and impediments
to growth
- Water availability.
- Distance from markets (for very fresh produce, but
not an issue for oil)
- Fluctuating terms of trade
|