According to the Sunrice submission once the price of water goes above 150 to 200 per ML rice growing in the Murray and Murrumbidgee systems is uneconomic. With the new buybacks that will be 8 out of 10 years.Correct, it highlights the stupidity of people making decisions in Canberra who have little interest in or understanding of farming practices.
From Rice growers Australia
Rice has generally been grown only in those years when water sales are abundant and hence cheap.
Extremely low water allocation 2007 to 2010 saw almost no rice produced, as were the recent years 2018 2019.
The extremely wet years since then have seen rice production grow to 400,000 tonnes in 2020, 677 tonnes in 2022, and 655 in 2023.
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Because rice is an annual crop, farmers can shift in and out of production as water costs rise and fall.
One of the other big growth areas, almond production, needs about 14 ML per hectare during the gowing season, most of which is provided by irrigation. Because they are perennial, they must be irrigated even in years when water is extremely scarce, otherwise the trees die.
From NSW DPI
And the growth in coprate Almond plantings has been phenomenal, and is projected to keep growing.
In 2020, temporary water was changing hands for 900 megalitre.
At those prices, very few rice growers would have been profitably growing rice.
For the almond growers, there was no choice.
It is impossible to get a handle on where all these almonds are going, but a good percentage is going into almond milk.
Not sure how many people will starve if almond milk disappears, but there might be a few if rice disappears.
Mick