• Download report PDF

  Download

The primary objective of the Identifying revenue opportunities for AgriFutures Australia’s rural industries project was to identify potential new and alternate revenue sources within 28 of AgriFutures Australia’s levied and emerging industries, and for Australian agriculture generally. Through a combination of stakeholder consultations and literature reviews, additional, new and alternate revenue sources were identified. These revenue sources range from completely new and novel opportunities to those previously explored but that could benefit from further investment. Similarly, what may be ‘old’ in one industry may well be new and untried in others.

New revenue opportunities may contribute to industry profitability and sustainability in four ways. Firstly, they provide diversification, reducing reliance on existing sources of income and thereby enhancing resilience against economic fluctuations and environmental uncertainties, such as drought or market downturn. Secondly, they can promote sustainable practices and innovation, encouraging industries to adopt environmentally friendly and technologically advanced approaches, which in turn supports long-term viability. Thirdly, they can foster economic growth and job creation in rural areas, helping to counter urbanisation trends and maintain vibrant rural communities. Finally, they can strengthen Australia’s position in the global market by tapping into emerging trends and consumer demands, ensuring the continued competitiveness of its rural industries on a global scale.

Industry-specific challenges

Specific insights relating to the Australian truffle industry include:

1. There are long lead times on investment – it takes 4-5 years from when trees are inoculated with truffle spores to the first formation of truffles; breakeven on investment takes 10-11 years. The production of commercial quantities can take 12-14 years.

2. The short shelf life of truffles, even when transported frozen, is a challenge for the Australian industry in getting produce to Europe, where it is largely used.

3. Sourcing appropriately trained truffle dogs in regions near truffières can be challenging.

4. The prevalence of substandard or adulterated products poses a threat to the industry in terms of justifying the price point for high-quality truffles.

Industry-specific opportunities

Specific opportunities relating to the Australian truffle industry include:

1. Co-location with commercial orchards – hazelnut and pine nut trees are suitable hosts for inoculating with truffle spores. Combining hazelnut or pine nut orchards with a truffière could provide two sources of income, albeit both have similar lead times.

2. Agtech development and adoption – while dogs are traditionally used to hunt for truffles, it is estimated a certain proportion of truffles may be missed underground. Further research in developing agtech that uses modern sensors and can replicate dogs’ olfactory senses could be a breakthrough for the domestic truffle industry, increasing the quality and quantity of yield.

3. Sustainability and monetising carbon – trees can host truffles for about 25 years, after which they need to be replanted. This presents an opportunity to develop the host trees as a timber plantation that generates additional income once they can no longer host truffles.