As Australian companies welcome the New Year, IBISWorld’s business information analysts have revealed the top five industries expected to grow – and shrink – in 2017-18.
The top predicted performer for 2017-18 is the Wind and Other Electricity Generation industry, with a bumper year of 35.3 per cent growth anticipated. IBISWorld anticipates that Sports and Recreation Facilities Operation, Dairy Cattle Farming, Petroleum Exploration and Nature Reserves and Conservation Parks will round out the top five best performers.
The closure of ageing coal-fired power stations, supply constraints and rising gas prices in the eastern states have all wreaked havoc on electricity markets over the past two years. The electricity service price is projected to increase significantly this financial year – especially in South Australia and Victoria, the country’s two largest producers of wind power.
“We’re predicting massive growth of over 35 per cent for this industry, with renewable energy operators in Victoria and South Australia likely to take advantage of rising prices to boost their revenue,” IBISWorld senior industry analyst William McGregor says.
Leading the list of industries facing a less fortunate 12 months is the Motor Vehicle Manufacturing industry, with revenue projected to decline by 43.1 per cent. Other industries anticipated to face revenue declines include Intellectual Property Leasing, Outdoor Vegetable Growing, Sugar Manufacturing and Concreting Services.