General News
16 May, 2026
Returned soldiers’ farming struggle
PART 1: The Great War ended in November 1918, and more than 250,000 soldiers returned to Australia, almost 78,000 to Victoria alone.
Despite the promises, not all could find work, and public leaders soon grew increasingly uneasy at the large numbers of unemployed soldiers in the cities and towns.
A grateful nation offered returned servicemen (and women) an opportunity to farm.
The nationwide Soldier Settlement Scheme was established to provide blocks of land on which it was hoped they could rebuild their lives.
The Scheme was developed, in part, to provide thousands of returned soldiers with a livelihood.
It was also a reward for the service they had given their country on the battlefield.
A ‘land fit for heroes’ was the promise, with prosperous farms, contented families and thriving regional development were anticipated.
Farms were established throughout Victoria, with a range of enterprises including growing grapes (for dried fruit), growing fruit and vegetables, raising pigs and chickens, wheat and sheep farming, and dairying.
But the land was not ‘given’ to prospective settlers.
Rather, interest-bearing loans enabled returned men (and some women) to buy blocks of land or improve their existing holdings.
In Victoria, almost 12,000 soldiers took advantage of the Soldier Settlement Scheme offered by the Federal Government.
Few of them saw their block of land before they bought it, and only 20% had any farming experience.
Settlements were established in the dry land farming areas of the Mallee, South Gippsland and the Western District, and in the irrigation areas of the north-west along the Murray, central Gippsland near Maffra and Sale, and the Goulburn Valley.
The scheme was first administered by the Victorian Lands Purchase and Administration Board and, from 1918, by the Closer Settlement Board.
A hopeful settler had to submit an application form and attend an interview with the Closer Settlement Board.
He would be asked how much money he had, whether he had a family, whether he or his wife had any farming experience, his occupation before enlisting, the nature of his war experience, the state of his health and the nature of any disabilities.
Applicants were not allowed to choose where they wanted to settle.
Those who got through the application process successfully were allocated a block of land somewhere in their state and received a £500 loan, which in later years was increased to £625.
With this, they were expected to buy stock, farming equipment and seed, so that they could support themselves and their families.
The land they received did not include a house or any other form of accommodation. It was up to the settlers to build their own homes.
When the new settler arrived on his or her block, the hard work of farming life began.
Under the scheme, settlers were required to clear the land, fence their blocks, build stockyards, and get rid of weeds and pests, such as rabbits.
Those who were allocated land on ‘dry’ blocks, such as in the Mallee, even had to provide their own water by building a dam.
To protect its investment, the state set in place an elaborate scheme, comprising district inspectors, area supervisors and a chief inspector.
The inspectors’ duties were extensive.
They had to supervise and advise settlers, collect and receive payments on behalf of the board, report upon and make recommendations on applications for advances to settlers, and advise settlers on buying stock and equipment.
Until they could build something more permanent, settlers lived in makeshift quarters.
These might be made of canvas over timber framing, or a small hut with corrugated iron walls and an earthen floor.
Many soldier settlers lived in tents, sometimes for years.
Returning soldiers faced many challenges from shellshock to physical disabilities, which only added to struggles faced on the leased land.
Two main issues that soldier settlers faced were too-small allotments and problematic irrigation.
With the collapse of the world trade market during the war and the ensuing world agricultural crisis, the price of wheat and other staples plummeted.
Many soldier farmers with small allotments became trapped prisoners in this crisis as their debts mounted.
Dairy farmers were hit earliest, in 1921, when most soldiers were still struggling to establish their farms.
The price for butterfat fell by over 70 per cent that year.
During the 1920s, prices for vegetables and fruit also plummeted.
In 1924, for instance, potatoes were reported to be selling at half the cost of production.
The exceptionally low values for wool and lambs brought many settlers to the brink of failure.
By 1929, 17% of the properties had been abandoned due to the small lot sizes, poor land quality, and insufficient water supply.
An inability to effectively manage the land due to injuries received during the war and increasing debts also contributed.
A dramatic drop in the price of wheat in 1931 was, for many, the final blow.
For wheat growers in the Mallee, the plummeting price coincided cruelly with their first good harvest in four years. Many farms did not make enough profit to support the farmer and his family.
If this was the case, settlers had to leave their own farms to earn money elsewhere, working as labourers or farm hands.