The number of farming families dropped by 10 percent between 2001 and 2006, the national broadcaster reported, citing figures from the Australian Bureau of Statistics.

The timeframe coincides with a severe drought in Australia, commonly referred to as the 'Big Dry', when crops have diminished and farm incomes have fallen to their lowest levels in 30 years.

The worst drought in a century has devastated many rural communities, with not only farmers but local businesses and service providers hit hard.

Drought cut 10 per cent off the value of Australia's agricultural production in 2006-07, according to official figures released earlier this year. -- AFP