Precision Agriculture in Australia-Free-Samples -Myassignment

Question: Demand and Supply of certain resources (LNG, Natural Gas, Energy, Coal etc) in Australia. Answer: Introduction Agriculture industries is one of key industries in Australia as it contributes to about 12% share of this nations Gross Domestic Product (GDP). This industry in Australia produces huge variety of primary goods for export as well as domestic consumption. This report focuses on the reforms in agriculture industries in Australia over the decades. For the past three decades, the main feature of this nation approach in enhancing productivity has been to bring about change in agriculture and decrease distorting manufacturer support (Bramley and Trengove 2013). Historically, the Australian government employed several support measures in maintaining as well as stabilizing farmer returns in this sector. This study also highlights on the role of Australian government in bring about reforms in agricultural sector. The economic analysis presenting the issue is also discussed in this report. Role of Australian government in reforms in agricultural Industries The Australian government plays a major role in bringing about reforms in the agricultural industries. The policy makers of this nation have recognized the significance of rising agricultural productivity sustainably as it enhances long-term income as well as welfare. For this reason, they took interest in implementing programs for achieving this goal without distorting the markets (Fuglie et al. 2012). These programs that supports diversification, encourages investment and refines their business skills have improved their farmers ability in enhancing their business. The Australian government actively works in reducing distortions in worlds agricultural trade in order to give better access in the market for the Australian exporters. Both the farmers as well as the Australian government establishes research and development (RD) corporations for each agricultural industries (Willer and Lernoud 2016). The government contribution to RD bodies helps them in researching about new farming m ethods, which in turn improves productivity and adaptation to change in climate. The Australian government is mainly interested in bringing change in agricultural industry as this sector plays bigger role in exporting products and services and contributes in national income and employment. Economic analysis about presenting the issue Reforms of agricultural policies in Australia started in 1970, when the government sought in limiting the financial assistance given through the budgetary measures. Early reforms introduced stabilized prices in agricultural goods and placed larger emphasis on providing assistance. Subsequent change aimed in making decision-making highly responsive to the market forces and decreased the level of assistance within the industry. The reforms in Australias agricultural sector include reduction in tariff, wider protection measures and removal of subsidy in fertilizer consumption. Tariff refers to tax on exports or imports of goods between the sovereign states. The government imposes tariff for restricting trade as it increases the prices of imported products, making them highly expensive to the consumers. Therefore, reduction in tariff led to growth of agricultural goods that are to be traded. Hence, it also led to creation of trade in this nation. Subsidy is termed as the benefits that the government offers to the individuals or industries in different forms including welfare payment, allowance of tax keeping low prices of products etc. Removal of subsidy in fertilizer consumption helped the Australian government in saving huge amount of money (Rickards and Howden 2012). In addition, the Australian government also imposed education programs to the farmers including marketing, strategic planning, production management and resource management. As a result, it improved the business skills of the farmers leading to increase in productivity. These reforms not onl y enhanced productivity growth but also reduced the production cost as well as cost of doing business. It also removed distortions in product price and increased exposure to huge competition (Hochman et al. 2013). Furthermore, the imposition of less foreign investment restriction in agriculture led to growth of agricultural industries. This occurred due to increase in inflow of capital arising from the foreign investment. This led to development of agricultural industries of this nation. Furthermore, the present agriculture polices shows that the Australian government does not provide support of market price to producers. Figure 1: Assessment of support to Australian agriculture Source: (Oecd.org 2017) As total productivity increased due to reform in agricultural industries, it enhanced the GDP growth rate of Australia. GDP refers to the monetary value of the final commodities and services manufactured within the geographical boundary of the nation in specific time frame. Therefore, increase in GDP growth rate signifies better economic health of the nation. Figure 2: The GDP of Australia from Agriculture Source: (tradingeconomics.com 2017) Recommendation of actions to the policyholders As the Australian government plays vital role in changing their agricultural industries, certain recommendation on the actions to be taken by the policymakers is given below: The Australian government should take effectual account on the requirements as well as decision-making procedure of the farmers and must also ensure flexibility in adaption programs in order to satisfy their farmers (Sheng et al. 2015). It is suggested that the key holders should adapt more research techniques for mitigating greenhouse gas emission from this agricultural sector. The policymakers in response to problems impacting agriculture should increase their investment as well as support for adapting further research methods into efficiency in energy in this industry especially, biofuels, biochar etc. It is recommended that the key holders should establish operating station network within this nation and must also regulate compatibility between various GPS systems. The government should also invest in local organizations that are engaged in work of farmers in acclimatizing to variability in climate. The policymakers must also develop policy for evaluating innovation range in order to enhance the resilience as well as productivity of the organizations. Conclusion Reforms in agricultural industries enhanced GDP growth and employment rate of Australia. Implementation of policies by the Australian government also helped the farmers in improving their skills in business. However, the Australian farmers became highly productive and influential in giving up protection of government. In addition, the Australian government also supported their farmers in managing price risks in the markets. Therefore, it can be concluded that reforms in this sector expanded this industry and improved the financial condition of the farmers. References Bramley, R. and Trengove, S., 2013. Precision agriculture in Australia: present status and recent developments.Engenharia Agrcola,33(3), pp.575-588. Fuglie, K.O., Wang, S.L. and Ball, V.E. eds., 2012.Productivity growth in agriculture: an international perspective. CABI. Hochman, Z., Carberry, P.S., Robertson, M.J., Gaydon, D.S., Bell, L.W. and McIntosh, P.C., 2013. Prospects for ecological intensification of Australian agriculture.European Journal of Agronomy,44, pp.109-123. Lawrence, G., Richards, C. and Lyons, K., 2013. Food security in Australia in an era of neoliberalism, productivism and climate change.Journal of Rural Studies,29, pp.30-39. Oecd.org. (2017). Cite a Website - Cite This For Me. [online] Available at: https://www.oecd.org/tad/events/Mr.%20Merrilees_Agricultural%20productivity%20growth%20reforms%20opportunities.pdf [Accessed 30 Nov. 2017]. Puri, M., Abraham, R.E. and Barrow, C.J., 2012. Biofuel production: prospects, challenges and feedstock in Australia.Renewable and Sustainable Energy Reviews,16(8), pp.6022-6031. Rickards, L. and Howden, S.M., 2012. Transformational adaptation: agriculture and climate change.Crop and Pasture Science,63(3), pp.240-250. Sheng, Y., Zhao, S., Nossal, K. and Zhang, D., 2015. Productivity and farm size in Australian agriculture: reinvestigating the returns to scale.Australian Journal of Agricultural and Resource Economics,59(1), pp.16-38. Tradingeconomics.com. (2017). Australia GDP From Agriculture | 1974-2017 | Data | Chart | Calendar. 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