Industry Analysis & Industry Trends
Dry conditions in the past five years have stifled demand for turf products, as these conditions intensified maintenance costs for turf. Revenue for the Turf Growing industry is forecast to decline by an annualised 1.1% in the five years through 2014-15. This includes growth of 3.5% in 2014-15, to reach $243.0 million. Low annual rainfall during some years has made it difficult for turf growers to operate, as production costs have increased, further constraining profit margins. The industry is comprised of many small, non-employing enterprises, partly due to the industry's low barriers to entry and the absence of considerable economies of scale.
Dwelling commencements have been volatile over the past five years, but have generally trended upwards... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Turf Growing industry is projected to be in the decline stage of its life cycle. The industry contribution to the economy (industry value added) is forecast to decline by an annualised 0.2% over the 10 years through 2019-20. Meanwhile, the economy is expected to grow, with GDP forecast to increase by an annualised 2.7% over the same period. As industry valued added falls in proportion to GDP, the industry will shrink in its share of the economy.
There are highly segmented turf variants in the industry, as there are fairly limited opportunities for industry players to innovate and introduce new turf varieties. Industry players are facing difficulties in generating more revenue amid the slump in demand... purchase to read more