Shepparton doesn’t get the tech press that Geelong does. But spend some time in the Goulburn Valley’s food processing facilities and you’ll find technology investments that rival anything in Melbourne.

Last month I visited several food processing operations in the region. What I found was an industry quietly transforming itself through automation, data analytics, and AI—driven not by hype but by hard economic necessity.

Why Food Processing is Going Digital

The Goulburn Valley is Australia’s food bowl. SPC, Kagome, and dozens of smaller processors turn local produce into products shipped across Australia and overseas.

But the industry faces serious pressures:

Labour shortages. Finding workers for processing plants has become increasingly difficult. Younger generations aren’t drawn to factory work, and regional areas compete for a shrinking workforce.

Cost pressures. Input costs have risen dramatically. Energy, packaging, transport—everything costs more than it did five years ago.

Quality demands. Retailers and export markets demand consistent quality. Manual inspection can’t keep up.

Traceability requirements. From paddock to plate, customers want to know where their food came from and how it was handled.

Technology isn’t optional anymore. It’s survival.

What I Saw

Computer Vision for Quality Control

At one fruit processing facility, cameras powered by AI scan every piece of fruit on the production line. Bruises, size variations, colour issues—all detected automatically.

“We used to have 15 people doing visual inspection. Now we have three people monitoring the automated system,” the operations manager explained. “And the machine doesn’t get tired at 3am.”

The system rejects substandard fruit in milliseconds, improving both quality consistency and throughput.

Predictive Maintenance on Processing Lines

Downtime during harvest season is catastrophic. Fruit arrives when it’s ready, not when the factory is.

One facility has implemented sensor networks across their processing line. Vibration sensors, temperature monitors, and power consumption trackers feed into software that predicts equipment failures before they happen.

“Last season we caught a motor issue 48 hours before it would have failed. Replaced it during a scheduled cleaning break instead of losing a day of production,” one engineer told me.

Automated Warehousing

A newer facility in the region uses automated storage and retrieval systems. Products are stored and picked by machines that work 24/7 without breaks.

The investment was significant, but the efficiency gains—and the ability to operate warehousing with fewer staff in a tight labour market—made it viable.

Data Analytics for Yield Optimisation

Raw agricultural products vary. A tomato from one paddock isn’t identical to one from another. Understanding this variation helps processors extract maximum value.

Several facilities now track detailed data through production—arrival condition, processing parameters, output quality. Analytics platforms identify patterns that improve yield over time.

“We discovered that tomatoes from certain farms processed better at slightly lower temperatures. Small adjustment, 2% better yield,” one manager shared.

The Technology Partners

Regional food processors don’t usually build technology in-house. They work with specialists.

Team400.ai are working with regional manufacturers on technology adoption. Their approach focuses on practical solutions that integrate with existing operations rather than rip-and-replace transformations.

Other suppliers mentioned included SICK and Cognex for vision systems, Rockwell Automation for industrial automation, and various local integrators who understand the specific needs of food processing.

The Workforce Question

There’s a legitimate concern that automation destroys jobs. What I observed was more nuanced.

Yes, some manual roles are being automated. But new positions have emerged—technicians to maintain automated systems, operators to monitor quality control software, data analysts to optimise operations.

“We’re not shedding staff. We’re changing the type of staff we need,” one HR manager explained. “The challenge is upskilling people and attracting workers with technical skills to Shepparton.”

That’s a real challenge. Regional areas need to develop pathways for workers to acquire new skills, and they need to attract technically-skilled workers to regional communities.

Some positive signs: GOTAFE in Shepparton is expanding technical training. Several employers are running internal upskilling programs. There’s recognition that the workforce needs to evolve.

What’s Next

The transformation is far from complete. Processors I spoke with have multi-year roadmaps for continued technology investment.

Areas to watch:

• Greater integration of robotics in packing and palletising
• More sophisticated AI for quality grading
• Blockchain for supply chain traceability
• Energy management systems to reduce costs

The Goulburn Valley’s food processing sector may not make tech headlines, but it’s demonstrating something important: regional industries can compete globally through smart technology adoption.

That’s a story worth telling.

For those interested in agricultural innovation support, CSIRO conducts research partnerships with food processors, and Regional Development Victoria offers funding programs for regional manufacturing modernisation.