Australian agriculture has undergone considerable change in structure and location. However, the broad rate of structural change in Australian agriculture is found to be not significantly different from that of other OECD countries. A major reduction in small farms has occurred and the number of medium and large farms has grown discernibly. Adjustment has been especially strong in cropping, dairying and the intensive sectors. The possible emergence of a farm adjustment problem in Australia's extensive grazing industry is discussed. Dispersion of farm size increased across most of the agricultural sector in the past two decades, although the distribution of farm size has become less skewed. Australian agriculture is becoming more reliant upon cropping and Western Australia and Queensland have been important growth areas. While recently there has been growth in the intensive sector of Australian agriculture, the extensive sector continues to prevail. A vision of the future of Australian agriculture is presented in the final section.


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