Australia’s dairy industry has urged state and federal water Ministers at today’s Murray Darling Basin meeting to recognise the adverse impact of the Murray Darling Basin Plan on dairy livelihoods and to keep more destructive water buybacks off the table.
Australian Dairy Farmers (ADF) President Rick Gladigau says ADF welcomes a new report on the social and economic impacts of the Plan in Victoria that reveals that there was a 46 per cent decline in milk production in the Basin during the past 15 years and 60 per cent of this decline was attributable to water buybacks.
The report, commissioned by the Victorian Government and released yesterday by Frontier Economics, shows milk production in the Goulburn Murray Irrigation District declined from an average of 2350 million litres in 2003-04 to 2005-06, to about 1270 million litres in 2019-20 and 2020-21.
“These figures suggest that the Plan has had the biggest adverse impact on dairy than any other event over the same period,” says Mr Gladigau. “The report shows that the dairy industry has already done the heavy lifting on the Plan. We want that recognised in any decisions the Ministers make today.”
The report includes an analysis of the socio-economic impacts of a buyback of an extra 450 gigalitres (GL) of water for the environment – which is currently on the table. Under this scenario It forecasts a gross marginal loss of approximately $150 million annually and 900 job losses for northern Victoria.
“Under a 450GL buyback the report forecasts a further 137GL of loss across the country for the dairy industry, which is more than any other agricultural sector,” says Mr Gladigau. “These numbers alone make it clear the socio-economic test cannot be passed.
“The Australian dairy industry believes a smart and efficient implementation of the Plan can generate positive environmental and socio-economic outcomes without the need for the Australian Government to acquire an extra 450GL of water.
“We want outcomes-based policymaking for water management to sustain dairy production in the food bowl of Australia. Any Plan that we support must incorporate lessons and insights from the past, with the water acquired achieving good environmental outcomes without harming dairy operations and rural communities.”
About Australian Dairy Farmers
Australian Dairy Farmers is the recognised national policy and advocacy organisation working to improve profitability and sustainability of dairy farming in Australia. Representing Australia’s six dairying states, Australian Dairy Farmers state membership comprises representatives from Victoria, Tasmania, New South Wales, Queensland, South Australia and Western Australia. These state bodies are known as State Dairy Farmer Organisation (SDFO). Australian Dairy Farmers provides the SDFOs with support and representation on a national level.
For further information, contact:
Ryan Ong
Currie
Tel: 0439 575 559
Email: ryan@curriecommunications.com.au