Australia’s peak dairy advocacy body, the Australian Dairy Industry Council, is calling for Federal Water Minister Tanya Plibersek to drop her plan for water buybacks.
ADIC is also inviting the minister to visit the dairy industry in the Murray-Darling Basin, especially in northern Victoria and southern NSW.
Ms Plibersek has introduced to Federal Parliament changes to the Murray-Darling Basin Plan that would see water buybacks used to get the full 450 Gl of water for environmental flows delivered by a new deadline of June 2027.
ADIC chair Rick Gladigau welcomed the much-needed extension but warned buybacks were not the answer.
“No-one cares more about the Murray River than the communities that live alongside it. But right now, they’re extremely angry and they’re extremely concerned,” Mr Gladigau said.
“There are alternatives to buybacks and better ways to achieve environmental outcomes.
“Buybacks permanently remove the water from key food-producing regions, driving up the price of water and increasing the cost of food production.”
Mr Galdigau encouraged Ms Plibersek to visit dairy farmers, dairy processors and associated communities along the Murray River, especially in northern Victoria and southern NSW, and to hear first-hand the impacts this policy would have.
“The dairy industry is calling for an innovative and outcomes-focused approach,” he said.
“Buybacks are a blunt instrument creating trauma for communities, leading to job losses and reduced investment.”
Mr Gladigau said the dairy industry in the Murray-Darling Basin contributed to the employment of almost 7000 people, directly and indirectly, across more than 900 farms and 40 dairy processors, with a farm gate value of more than $1 billion.
He said basin plan began in 2012, farm numbers had fallen by 47 per cent and milk production had dropped 35 per cent.
“The minister’s approach to drop the social and economic test has a very real impact on communities, jobs and food production, and effectively throws aside the spirit of bipartisanship that has held for 11 years through other challenges.
“What we have now is more stress, uncertainty, and frustration for communities in the basin.”
Mr Gladigau said the industry had provided a range of other options around water efficiency projects to progress recovery.
“There’s no easy answer to our water challenges, but just pushing through the first option to hand isn’t going to solve anything.”