Horse racing is a popular sport in Australia, with an estimated $10 billion a year in economic activity and over 80,000 jobs created by the industry. It is one of the oldest and most established industries in the country, and has been a part of the fabric of Australian culture for centuries. But is horse racing the biggest industry in Australia? This article will explore the answer to this question in detail.
History of Horse Racing in Australia
Horse racing has been a part of the Australian culture since the early 1800s, when the first organised race was held in the New South Wales (NSW) town of Maitland in 1810. Since then, it has grown to become one of the most popular sports in the country, with races being held in all states and territories. In 2019, over 11,000 races were held in Australia with a total prize money of $1.3 billion.
Types of Horse Racing in Australia
Horse racing in Australia is divided into two main categories: flat racing and jump racing. Flat racing is the most popular type, and involves horses running at a predetermined distance on a flat track. The most popular flat racing events in Australia are the Melbourne Cup and the Caulfield Cup. Jump racing involves horses jumping over obstacles, and is often referred to as ‘National Hunt’ racing in Australia. The most popular jump racing events in Australia are the Grand National and the Australian Grand National.
Economic Impact of Horse Racing in Australia
Horse racing is a major contributor to the Australian economy, with the industry estimated to contribute over $10 billion a year in economic activity, and to generate over 80,000 jobs in Australia. This includes direct and indirect jobs, such as those in the racing and breeding industries, as well as jobs in the hospitality and tourism sectors. The industry also contributes to other sectors of the economy, such as agriculture, construction and manufacturing.
Size of the Horse Racing Industry in Australia
Horse racing is the third largest industry in Australia, behind only mining and agriculture. It is estimated to account for around 1.5% of the country’s GDP, and is a major contributor to the national economy. The industry is responsible for generating over 80,000 jobs, and is estimated to contribute over $10 billion a year in economic activity.
Revenue and Expenditure for Horse Racing in Australia
Horse racing generates around $1.3 billion in prize money each year, and is estimated to contribute around $7 billion in total revenue to the economy. Of this, around $4 billion is spent on wages and salaries for those working in the industry, while the remaining $3 billion is spent on goods and services.
Regulation and Taxation of Horse Racing in Australia
The Australian horse racing industry is subject to strict regulation and taxation. All racehorse owners must register their horses with the Australian Racing Board, and all races must be approved by the relevant state or territory racing authority. The prize money for each race is subject to a 10% federal tax, while owners and trainers must also pay GST on their earnings.
Future of Horse Racing in Australia
The future of horse racing in Australia looks bright, with the industry continuing to grow and expand. As the sport becomes more popular, the prize money for races is increasing, and more people are becoming involved in the industry. The industry is also continuing to innovate, with the introduction of new technologies such as virtual reality and augmented reality, as well as the use of drones to monitor races.
Conclusion
Horse racing is a major industry in Australia, and is estimated to contribute over $10 billion a year in economic activity and to generate over 80,000 jobs. It is the third largest industry in the country, behind only mining and agriculture. The industry is subject to strict regulation and taxation, and the future of horse racing looks bright with the introduction of new technologies and the increasing popularity of the sport.
Key Takeaways
Horse racing is a major industry in Australia, and is estimated to contribute over $10 billion a year in economic activity and to generate over 80,000 jobs.
The industry is divided into two main categories: flat racing and jump racing.
Horse racing is the third largest industry in Australia, behind only mining and agriculture.
The industry is subject to strict regulation and taxation, and the future of horse racing looks bright with the introduction of new technologies and the increasing popularity of the sport.