Merimbula Lake, located on the Far South Coast of New South Wales, is experiencing a surge in oyster production, surpassing traditional farming regions that have been adversely affected by a series of natural disasters. The New South Wales government is committed to addressing challenges within the industry and aims to increase the farm gate value to nearly $300 million by 2030.
As oyster producers contend with environmental adversities and emerging diseases, Merimbula Lake has emerged as a key contributor to the sector’s growth. Hugh Wheeler, who has been in the oyster farming business for 45 years, reported that production in the area has doubled in the last ten years. Merimbula Lake has now outperformed established oyster-growing regions such as the Mid North Coast and Hunter region, achieving record sales of $14 million last year, which accounted for a substantial quarter of the state’s Sydney rock oyster market.
Wheeler attributes the region’s success to its favorable geography and innovative farming techniques. He noted that while other estuaries along the coast struggle with flooding issues, Merimbula benefits from fewer environmental challenges. The region was an early adopter of floating bag cultivation methods, which are less effective in flood-prone areas where oysters can be washed away.
Additionally, the focus on high-value oyster varieties has allowed producers to command premium prices in restaurants and markets. In the 2024-2025 period, Merimbula alone produced 323,241 dozen large oysters, significantly outpacing its nearest competitor.
The New South Wales government is setting ambitious targets for the oyster industry. Ian Lyall, the director of aquaculture at the NSW Department of Primary Industries and Regional Development, stated that the government is collaborating with industry stakeholders to nearly triple the sector’s value to $300 million by 2030. This initiative includes a $20 million grant program aimed at enhancing investment in technology and automation, which could significantly benefit production and address climate change challenges.
Despite the positive outlook, the industry faces hurdles beyond natural disasters and disease outbreaks. Ewan McCash, an oyster farmer from Batemans Bay and CEO of Oceanfarmr, an aquaculture software firm, highlighted the challenges of financing, accessing disease-free oyster seed, and attracting skilled labor. He noted that banks often do not recognize oyster leases as collateral, forcing farmers to secure loans against personal assets, such as their homes.
There is growing concern regarding the ongoing issue of mass oyster mortality events, with some unexplained outbreaks resulting in losses of up to 90% of stock. Matt Landos, an adjunct professor at the University of Queensland, indicated a shift in research focus towards understanding water quality and catchment management rather than solely searching for pathogens. He observed that estuaries under significant pressure from agricultural practices tend to suffer the most.
Research efforts are underway to combat these challenges. Francisca Samsing from the University of Sydney’s School of Veterinary Science reported progress in developing an experimental vaccine for the virus causing Pacific oyster mortality syndrome, with initial lab trials indicating a 90% survival rate in vaccinated oysters. Although still in the early stages, this vaccine has the potential to become a valuable asset for the industry if it can be scaled for widespread use.
