3.7 Million Australians Face Food Insecurity Issues: Report

People shop for fruit and vegetables at a market in Melbourne, Australia, on June 11, 2021. William West/AFP via Getty Images

A food security crisis is sweeping through Australia as millions of households had difficulty putting food on the table in the past year, a new study has shown, with 77 percent experiencing this for the first time.

Foodbank Australia—the country’s largest hunger relief charity—has released a report depicting a grim picture of food insecurity in Australia amid rising inflation.

Food insecurity is characterized by insufficient access to safe and nutritious food to ensure normal growth and development and a healthy life.

The report found that 3.7 million, or 36 percent of, Australian households experienced moderate to severe food insecurity in the past 12 months, 77 percent of which faced food insecurity for the first time.

The total is 383,000 households more than the previous year.

In addition, about 2.3 million households (23 percent) had to reduce their food intake, skip meals, or go entire days without eating as they could not afford basic staples.

People under 45 years old, unemployed, or receiving a disability pension were most likely to go hungry.

Half of all renters and a third of all mortgage holders also reported being unable to meet their food needs.

It is worth noting that 60 percent of all food-insecure households had someone in paid work, indicating that having a job does not necessarily prevent one’s household from going hungry.

The report also found that 48 percent of the population currently felt anxious or struggled to ensure adequate access to food, up from 45 percent in 2022.

Foodbank Australia CEO Brianna Casey said Australia was fast heading towards a reality in which more than half the population would experience food insecurity.

“In a country where we produce enough food to feed our population three times over, this should not be happening,” she said.

What Caused Food Insecurity in 2023?

According to the report, increased food and grocery costs were the most common cause of food insecurity in Australia, inflicting hardship on 69 percent of struggling households.

Data from the Australian Bureau of Statistics showed that the price of food and non-alcoholic beverages rose by 7.5 percent in the 12 months to June 2023, with the largest increase in dairy products (15.2 percent).

Energy costs (56 percent) and housing costs (50 percent) were other major contributors to food insecurity, followed by rent (34 percent), unexpected large expenses (32 percent), and interest rates (24 percent).

A worker shops at an IGA supermarket in Cobar, Australia, on April 17, 2020. Jenny Evans/Getty Images

Approximately 16 percent of food-insecure households cited credit and debt repayments as a contributing factor, and this figure could go up as more people resort to buy now, pay later (BNPL) services to pay for food expenses.

“It’s clear the cost-of-living crisis is exacerbating the challenges facing those in vulnerable circumstances and forcing people to make compromises on what and when they are eating,” Ms. Casey said.

“Add to that natural disasters of increasing frequency and severity, and it equals an increase in the demand for food relief that has never been greater.”

To cope with rising living costs, 94 percent of the survey participants reported changing their shopping and eating-out habits, including looking for sales or discounts on food and grocery items, cutting back on meals out of the home, and swapping foods for cheaper alternatives.

Meanwhile, 63 percent tried to reduce their expenditure on their housing and finances by dipping into savings or spending more on credit cards or BNPL services.

More than half of the participants (58 percent) cut back on their energy usage or changed plans, while 41 percent slashed their transport expenses to save money.

The report comes after a recent warning by Reserve Bank of Australia Governor Michele Bullock that the escalating Israel and Hamas war could worsen inflation in Australia, adding more pressure on struggling households.

The governor said the conflict could drive up oil prices and lower global economic growth.