Murray-Darling farmers facing sharp cuts to water allocations

Farmers in the Murray and Murrumbidgee regions are staring down record-low water allocations for the season ahead putting summer crops at risk.

Farmers across the Murray and Murrumbidgee regions are facing sharply reduced water allocations as the 2025–26 season approaches.

On Monday, authorities announced cumulative allocations for general security water – just 5 per cent for the Murray and 21 per cent for the Murrumbidgee.

Rice Growers Association president Peter Herrmann said “co-operation between bureaucrats and regional industry is at an lowest”.

“The alps with metres of snow, yet allocation set by lowest recorded inflows,” Mr Herrmann said.

Moulamein rice farmer Jeremy Morton said the low allocations made it extremely difficult to plan.

“It’s not great … it makes it really difficult to do anything much,” he said.

“The market is pretty high at the moment … (it) makes a fair dint in the year’s margins.”

Growers accessing Murray water have received a 2 per cent increase on top of the baseline 3 per cent allocation, taking their total allocation to 5 per cent.

Mr Morton said he was frustrated at the way incoming flows were being treated.

“The most frustrating thing is watching the dams come up … not as fast as we’d like, but there’s lots coming down the Darling that’s not likely to hit in October,” he said.

“I’m not confident that is being included in the allocations.

“There’s water on the way but it isn’t reflecting in the allocations and this makes it really hard to plan.”

He said many growers were hesitant to commit to planting summer crops.

“I’ve spoken to quite a few people in the past few weeks and they’re not confident with making decisions,” Mr Morton said.

“People can’t commit to growing produce without water allocations – in particular summer crops.

In response to concerns over the season ahead, Murray Irrigation is hosting three season outlook briefings in September 2025, aimed at giving growers insights and resources from industry experts.

One of these briefings will take place on Wednesday at Deniliquin.

“It will be interesting to hear the reasoning and to have a discussion with those making the allocations – it’d be great to get some clarity about what is included.”

With forecasts predicting a drier season than in previous years, low water allocations are expected to intensify pressure on farmers already grappling with the worst drought in decades.