2024, Volume 27, Paper 11
ISSN: 2209-6612
The Goat Cheese Value Chain in Australia
Rebecca Haschek – Postgraduate student, University of Melbourne
Abstract
In this paper the characteristics and structure of the goat cheese value chain in Australia are explored, as well as the main opportunities and challenges faced by the industry. The goat cheese market can be described as a captive market where supermarkets, the largest retail segment, control access to shelf space and effectively dictate terms. However, for smaller producers who sell at farmers’ markets and local stores, their experience may be closer to perfect competition. Demand for goat cheese is expected to continue increasing, driven predominantly by growing interest in cow milk alternatives with artisan and local cheeses often favoured by specialty cheese connoisseurs. However, specialty cheese has a higher income elasticity compared with other cheese groups, making price and demand fluctuations a key risk for the industry. In addition to volume flexibility and alternate market development, strong branding may help mitigate demand fluctuation risks. Sustainability is another concern for the value chain as consumers can associate high greenhouse gas emissions with ruminant products. There are many studies on sustainable approaches to cow dairy production; however, there is a need for these to be verified in a goat dairy context. Consumer preference for local, sustainably produced cheeses therefore presents both an opportunity and a challenge for the industry. There is little Australian data on consumer preference, willingness to pay, or retail statistics for goat cheese, and goat milk and cheese production data are also scarce. These data are needed to give a more accurate picture of the Australian goat cheese value chain, to help shape the industry, increase collaboration and give individual businesses insight into the market they supply.
Key words: Goat cheese, value chain, Australia, specialty cheese, market structure, goat milk
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