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ABARES Agricultural, Fisheries and Forestry trade classification

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ABS international trade data

Accounting of international merchandise trade: The valuation of Australian merchandise exports and imports used in the accounting of international trade in the Australian Balance of Payments and the international trade statistical system are in accordance with the definitions published in the harmonised international standards determined by the International Monetary Fund, Balance of Payments Manual (version 5), 1993 and the United Nations, System of National Accounts, 1993.

Agricultural is a term used to describe unprocessed or processed agricultural products, as defined in ABS International merchandise trade, Australia: concepts, sources and methods, 2018. These products include grains and flours, fresh and processed fruits and vegetables, meat and meat products, dairy products, natural fibres, sugar and wine. This differs from ABARES classification of 'farm' production (see Australian production statistics section).

Australian merchandise exports are valued on a free on board (fob) basis at the Australian port of export. The costs of freight, insurance and other distributive services (cif) beyond the Australian customs border are not included.

Free on board (fob) means that a seller pays for transportation of the goods to the port of shipment, plus loading costs.

Australian merchandise imports are valued on a customs value for duty basis that is identical to a free on board (fob) basis. The customs value for duty is the price actually paid at the port of origin, including inland freight and insurance costs incurred in delivering the commodity to the port of origin. The freight and insurance costs of delivering the commodity(s) to the Australian port of destination are excluded.

Cost, insurance, freight (cif) means that the buyer pays the cost of marine freight transport, insurance, unloading, and transportation from the arrival port to the final destination.

Export quantity: Data supplied by the Australian Bureau of Statistics (ABS) based on the net product weight (excluding packaging) exported.

Export value: Data supplied by the ABS valued on a free on board (fob) basis at the Australian port of export. The cost of freight, insurance and other distributive services beyond the Australian customs border (cif) are not included.

Import quantity: Data supplied by the ABS on the basis of the net product weight (excluding packaging) imported.

Re-exports (included in merchandise exports statistics): Goods originally imported, which are then exported in either the same condition in which they were imported, or after undergoing repair or minor operations which leave them essentially unchanged. Re-exports are not considered to be Australian production or manufacture. Minor operations include blending, packaging, bottling, cleaning and sorting.

Re-imports (included in merchandise imports statistics): Goods originally exported, which are subsequently imported in either the same condition in which they were exported, or after undergoing repair or minor operations which leave them essentially unchanged. Minor operations include blending, packaging, bottling, cleaning and sorting.

Australian production statistics

Aquaculture: Commercial growing of marine or freshwater animals and aquatic plants.

Aquaculture value is assessed value received by aquaculturists on the basis of an ‘at farm gate’ equivalent for product marketed.

Marketing years are 12-month periods specific to individual commodities that begin around the time that harvesting usually commences. Balance sheet components (stocks, production, consumption and trade) are typically reported on a marketing year basis. For more information, including a guide to marketing years for major Australian crops, see Changes to reporting of marketing year balance sheets.

Estimated Value of Agricultural Operations (EVAO)

The EVAO is used to determine the coverage for the Agricultural Census and therefore production quantities and the gross value of production (GVP) values. The EVAO is an ABS construct used to estimate the relative size of agricultural activity undertaken by a business.

Three-year weighted average prices are applied to livestock sales and livestock numbers on the farm, and to area and production data for crops. A three-year weighted average is used to minimise the effects of both large movements in commodity prices and seasonal conditions which may otherwise unduly influence a business EVAO.

The resulting aggregation of these commodity values is the EVAO. It is not an indicator of the value of receipts of individual farms (turnover) but rather an indicator of the size or extent of agricultural activity.

The EVAO used by ABS has changed over time and the time series data presented are based on the following:

Details for establishments with estimated value of agricultural operations (EVAO) of $2,500 or more until 1985–86; EVAO of $5,000 or more from 1986–87 to 1988–89; EVAO of $20,000 or more from 1989–90 to 1990–91; EVAO of $22,500 or more from 1991–92 to 1992–93; EVAO of $5,000 or more from 1993–94 to 2014–15 and EVAO of $40,000 or more from 2015–16.

Farm: ABARES' definition of farm is reserved for capturing the value of products that are sold from agricultural properties and that are either unprocessed or minimally transformed. These include grains, livestock sales and slaughterings, milk, sugar cane and wine grapes. This differs from the ABS classification of 'agriculture' exports (see ABS international trade data section).

Fisheries refers to Commonwealth, state and territory waters in which marine and freshwater animals are commercially caught or farmed, unless otherwise specified.

Fisheries production refers to commercial production of wild-caught and aquaculture marine or freshwater animals from Commonwealth, state and territory waters and aquaculture farms, unless otherwise specified. The farm gate value of a cultivated product in aquaculture is the net value of the product when it leaves the farm, after marketing costs have been subtracted.

Gross value of production

Historically, the gross value of production is the value placed on recorded production at the wholesale prices realised in the marketplace. The point of measurement can vary between commodities. Generally the marketplace is the metropolitan market in each state and territory. However, where commodities are consumed locally or where they become raw material for a secondary industry, these points are presumed to be the marketplace. Prices used in these calculations exclude GST.

More recently, the gross value of production is calculated using gross prices realised at the point(s) of valuation where ownership of the commodity is relinquished by the agricultural sector. For example, fruit can be sold into the fresh fruit market, to factories for processing and/or is exported.

Production value is the assessed value at the point of landing for the quantity produced (excludes transport and marketing costs).

Real: ‘Real dollars’ or ‘real terms’ refer to the conversion of nominal dollar values to take account of inflation. Comparisons from year to year are expressed in nominal terms unless stated otherwise.

All values and prices are in nominal terms unless stated otherwise.

Small discrepancies in totals are generally caused by rounding. Zero is used to denote nil or a negligible amount.

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