Investing more, delivering more: Right-sizing RD&E for Australian grain growers

Client: Grain Research & Development Corporation

29/09/2025

ACIL Allen conducted an independent review in late 2024 to determine the appropriate level of research, development and extension (RD&E) investment for the Australian grains sector.

The review found that GRDC investments generate average returns of $6–$9 per dollar invested, delivering $4.8 billion in net benefits to the grains industry between 2018–23. Financial modelling projects similar returns of approximately $8 per additional dollar invested.

Key Recommendations:

ACIL Allen recommends GRDC invest up to an additional $60 million per year over the next decade. This level represents the optimal balance between affordability, expected returns, and the RD&E ecosystem's current capacity.

The review identified three priority areas:

  • Increased investment in strategic research to build foundational knowledge and address longer-term challenges
  • Enhanced investment in foundational enablers to strengthen research capacity and workforce development
  • Development of new partnership models operating over 7–10 year timeframes to address complex industry challenges

The analysis indicates GRDC's current reserve levels present an opportunity to increase RD&E investment while maintaining financial sustainability across variable seasonal and market conditions.

Project publication

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