Business Environment
Located adjacent to Victoria's capital city, Melbourne, Baw Baw Shire is one of Victoria's fastest growing municipalities with freeway access into the centre of Melbourne, Melbourne Docks and Tullamarine and Avalon Airports.
The Baw Baw Shire covers approximately 3,900 square kilometres of high quality farmland and woodlands, it also has the closest snow fields to Melbourne.
The population is slightly over 43,000 and grew by 3.8% in 2009/10 financial year.
Agricultural production (excluding value-adding) is estimated to be between $350 and $380 million per annum with dairy production being the largest sector.
Major Industries
Climate
Natural Environment
Transport & Accessibility
Contacts
Major industries
Agriculture
The dairy industry dominates with its strong performances in production and research and development, leading to world competitive productivity. Confidence in this industry has seen large investments in dairy manufacturing, providing the capacity to supply growing world markets. The dairy sector is estimated to have a turn-over of $212million in 2009-2010.
Livestock production ($85.94.8 million turnover in 2009-2010), potato production ($89.8million), hydroponics ($35-$40million) are the major agricultural sectors. The fruit, vegetable and hydroponic sectors are expanding rapidly and are major agricultural activities. Council is actively pursuing development in the hydroponics industry which saw production of between $35 and $40 million in 2008-09. Baw Baw Shire is one of Victoria’s main dairy, potato and hydroponics regions.
Timber
Timber production was one of the earliest industries in the Baw Baw Shire across the Mountain Ash Forests of the Central Highlands. Value adding through specialised grading, milling, drying, laminating and machining processes offer new opportunities for the region. Forestry and logging was estimated to be worth $12.4 million in 2009-2010.
The availability of this high quality timber resource creates opportunities for further value adding industries such as furniture, laminated veneers and fibreboard. Development of timber plantations has been identified as a major opportunity within Baw Baw Shire with some of the land previously cleared for agriculture now proving to be suited to forestry plantations.
Value Adding (food)
The availability of high quality agricultural products, meat, milk, vegetables and fruit, accompanied with ease of access to markets provides great opportunities for value adding and packaging for the domestic and international food markets.
Dairy processing has led the way with milk powder, butter and cheeses for export and domestic markets. Local cheese companies have achieved world acclaim as well as national and international awards for their products. Also gaining renown are locally produced wines, smoked meats, jams, pickled products and preserves. Major abattoirs and boning facilities are also located in Baw Baw Shire servicing organic and standard markets. The area is also serviced by two local major food packaging companies. Value adding to the food industry was estimated at $233.78 million output in 2009-2010.

Primary Industry
Primary industry is a major employer and industry sector within Baw Baw Shire and includes dairy and beef cattle, potatoes, pome/pip fruits (apples), vegetables, cool climate grapes, maize, soft fruits (berries and currants), fresh flowers, seedlings and plants, hydroponic vegetables and timber. There is also a significant and growing value-adding sector taking advantage of the primary produce grown in the area. Organic production is also increasing.
Climate
Baw Baw Shire’s climate is characteristic of most of southern Victoria with a relatively high annual rainfall (approximately 1,000 mm) and moderate temperatures throughout the year.
The coldest and wettest time of the year is from winter to early spring whereas the driest and warmest time is typically during February, which on average has 51mm of rain for around seven days of the month and maximum temperatures averaging 24 degrees Celsius.
Natural environment
Physical resources characteristic of the Baw Baw Shire include high quality agricultural land ranging from flat to undulating farm land and mountainous forestry areas, abundant water resources, mineral resources and areas valued for their conservation and recreation qualities.
The Baw Baw Shire is agriculturally diverse, boasting some of Victoria’s best dryland farming areas making it a major centre for agricultural production, in particular dairying and vegetable production. The area’s high annual rainfall, temperate climate and highly productive soils make it particularly conducive to agricultural activities.
Transport and accessibility
Road - The Princes Freeway (M1) dissects the Baw Baw Shire in an East-West direction providing ease of road transport to and from Melbourne. A number of freight companies provide road transport to Melbourne, shipping ports, airports and other regional centres.
Rail - Passenger rail services are available, predominantly adjacent to the Princes Freeway.
Contacts
For further information or queries please contact a member of Council's Economic Development Unit:
PO Box 304
Warragul Vic 3820 Australia
Tel: +61 (03) 5624 2411
Email: economicdevelopment@bawbawshire.vic.gov.au