300,000 jobs and growing: Australia’s biggest manufacturing sector builds momentum
27 August 2026
The industry behind the food and grocery products Australians rely on every day now employs over 301,000 people.
The Australian Food and Grocery Council’s State of the Industry 2024-25 report shows turnover and employment reached record levels in 2024-25, underscoring the sector’s growing importance to the Australian economy.
Food and grocery manufacturing now accounts for 33% of all manufacturing jobs in Australia. More than a third of the workforce is based in regional communities.
Speaking at AFGC’s APEX 2026 conference, AFGC CEO Colm Maguire said the figures highlight the importance of our strong domestic manufacturing sector.
“We account for one in three manufacturing jobs in Australia. That’s our industry supporting communities and livelihoods across the country, especially in regional areas where manufacturing is the lifeblood of local communities,” Mr Maguire said.
“Food and grocery manufacturing is Australia’s largest manufacturing sector and one of the country’s most significant employers.”
The State of the Industry report shows turnover reached $182.6 billion, capital investment rose 16% to $4.5 billion, while exports climbed 17.4% to $52.6 billion, outpacing import growth.
“When businesses have confidence to invest, Australia benefits through more jobs, stronger regional communities and greater manufacturing capability,” Mr Maguire said.
“That investment helps businesses grow, improve productivity and create opportunities for future generations.”
While the report points to a sector continuing to expand, continued pressure on margins and operating costs, evident through the events of 2026, could weaken the sector’s ability to invest and grow over the long term if left unaddressed.
These pressures stem from supply chain disruptions in the Middle East and the rising costs of energy and commodities used to make the sector’s products.
The challenge now is turning today’s strong performance into long-term competitiveness.
The industry is focused on reaching $250 billion in turnover by 2030 and is calling for investment incentives, affordable and reliable energy, and smarter regulation to support growth.
“Australia has the capability, the workforce and the businesses to grow food and grocery manufacturing even further. The task now is ensuring we have the policy settings that allow that growth to happen here,” Mr Maguire said.
Explore the full State of the Industry report and interactive data here.
Contact
Zandi Shabalala
media@afgc.org.au
0430 051 575
