Farm‐Level Sustainability Assessment: Australian Farmers' Perceptions of Environmental, Social and Governance Impacts in Agriculture

ABSTRACT There is growing global interest in sustainable agriculture and in environmental, social and governance (ESG) accounting. While primary producers' interaction with traditional environmental management are well‐documented, relatively little is known about how farmers perceive and adapt to integrated corporate ESG assessment frameworks at the farm level. This study examines Australian farmers' perceptions of agricultural sustainability, adoption practices, awareness of ESG and sustainability frameworks by capturing a diverse cross‐section of 200 validated Australian farming operations spanning multiple states, enterprises and sizes to explore emerging insights. Data on demographics, farm characteristics, sustainability attitudes and practices, engagement with schemes, ESG familiarity and tool preferences were collected. Findings show that sustainability was widely valued, with 91% of respondents considering it important for their farm's future, and 82% self‐reported their farm activities as sustainable. Adoption was highest for practices compatible with existing systems and offering visible co‐benefits, while capital‐intensive or long‐horizon options were less common. Among responders, 29.5% had used at least one formal sustainability framework, and ESG familiarity and perceived importance were moderate and uneven, associated more with enterprise type, main income source and group membership than with age or education. Motivations for sustainable practice (especially environmental and stewardship concerns) co‐existed with strong barriers related to costs, limited incentives and information gaps. Driver‐to‐barrier ratios and counts varied by state, enterprise and farm size, indicating context‐specific feedback structures. These patterns are consistent with viewing Australian agriculture as a complex adaptive system in which a broad sustainability norm emerges across diverse farms. The findings highlight a structural gap exist between on‐farm sustainability and formal reporting. This points to the need for farmer‐centred ESG and sustainability tools that are low burden, integrated with existing management systems, sensitive to enterprise and regional diversity and able to translate bottom‐up practices into credible, system‐level evidence.