"The final straw that breaks our industry" - Water buybacks push dairy farmers to the brink

A new report by Dairy Australia has revealed that milk production in the southern Murray Darling Basin could plummet by up to 15 per cent if water buybacks are not halted immediately.

The report, released on Wednesday, revealed Australia’s annual milk production could plummet by up to 270 million litres if the federal government pressed on with water buybacks that would strip dairy farms of vital water supplies.

In a media release published by NSW Farmers the same day, the organisation's Dairy Committee Chair Mal Holm said the reality of the situation is that the Australian government is stripping farmers of the water needed to produce the nation’s milk - pushing them out of the industry.

“Input costs have soared and milk prices remain staggeringly low, while the effects of flood, drought and other disasters continue to wreak havoc," Mr Holm said.

“Water buybacks could be the final straw that breaks our industry, and we need smarter Basin decisions that balance the priorities of the environment, agriculture and our communities, if any of them are to have a future.”

NSW Farmers Water Taskforce Chair Richard Bootle said the Federal Government’s water buyback program must be ceased immediately for the sake of the nation’s broader agricultural industry.

“Water buybacks are making local dairies disappear, and increasingly dairy has to be transported hundreds or thousands of kilometres just to get on shelves,” Mr Bootle said.

“Aussies deserve fresh milk every morning and a coffee or a cheese platter whenever they feel like it – but they soon could be stuck with food that isn’t fresh, isn’t affordable, and isn’t Australian grown, just because our government can’t give our farmers a fair go.

“Stop buying up the Murray Darling, and farming families might just be able to stay in business.”