Recent results posted by the Victorian Government shows that the state’s food and fibre exports grew by 19 per cent, or $1.3 billion, to reach a record $8.07 billion total in 2010-11.


Results released by the Victorian Department of Primary Industries found the agriculture sector had shown solid growth despite difficult market conditions and the increasingly strong Australian dollar.


"This demonstrates the high quality and high demand for Victorian food, wine and fibre, and is a fantastic result for our farming communities," State Agriculture and Food Security Minister Peter Walsh said.


"The end of the drought and stronger commodity prices, together with new access to the Indian market for Australian dairy farmers, are the key factors in an exceptionally strong showing for Victorian food and fibre producers."


Mr Walsh said the Victorian Food and Fibre Export Performance 2010-11 showed Victoria remained Australia's leading agricultural exporter, accounting for 28 per cent of farm exports.


Victoria made up 86 per cent of the value of Australia's dairy exports with $1.96 billion worth, while the value of grain exports jumped sharply from $442 million to $1.13 billion.


The report found that fibre exports, including wool, skins and hides, were valued at about $1.77 billion in 2010-11, an increase of $470 million from the previous financial year.


Demand for wool remained strong despite higher prices, with volumes exported to China increasing by 14 per cent and shipments to Italy more than doubling.


Mr Walsh said a total of 412,000 tonnes of meat products worth approximately $1.66 billion were also exported, an increase of $110 million.