The Australian agribusiness sector in 2025 was marked by contrast and careful adjustment, with outcomes varying significantly by commodity, region and production system.
In the grains sector, performance depended heavily on rainfall timing and subsoil moisture. Northern New South Wales and parts of Southern Queensland outperformed, supported by favourable seasonal windows and well-managed planting strategies. By contrast, central and southern regions contended with tighter margins, quality risks and increased reliance on irrigation. Agribusiness property activity generally reflected these dynamics, with strong demand for well-located, high-quality assets and more measured engagement on secondary holdings.
The horticulture sector continued to demonstrate resilience, with forecast production value growth and strengthening export demand — particularly across Asia. However, rising labour, freight, fertiliser and water costs placed sustained pressure on margins. Transaction volumes remained relatively subdued, with corporate buyers highly selective and well-capitalised family operators dominating acquisitions under $30 million.
In grazing markets, a pronounced north–south divide persisted. Northern Australia benefited from improving livestock prices and steady demand from large family and institutional operators, even as buyers approached new purchases with caution. Southern regions remained more subdued, although stabilising conditions, improving livestock benchmarks and early increases in enquiry suggest the potential for renewed momentum into 2026.
The viticulture sector again faced a difficult operating environment. While production lifted, oversupply, soft grape prices and evolving consumer preferences weighed on returns. Buyers remained selective and transaction activity was limited, although a handful of high-quality winery sales demonstrated that strategic capital continues to pursue premium assets.
Across agribusiness more broadly, 2025 reinforced several key themes: disciplined decision-making, selective capital deployment, and the continued premium placed on scale, water security and efficiency. Conditions remain uneven, but improving commodity signals in several segments, alongside stabilising buyer sentiment, indicate that many parts of the agribusiness property market are gradually transitioning toward a more balanced footing as we move into 2026.
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