There are calls to re-purpose the Water for Fodder program to provide water allocations for irrigators to grow key commodities like rice.
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Water for Fodder was the result of a deal struck by the federal government with South Australia to provide 100 gigalitres of cheap water for Southern Basin irrigators to grow fodder to help get the country's breeding stock through the drought.
In exchange the federal government restarted Adelaide's desalination plant.
There was 40GL of water released to 800 irrigators in round one of the program, while round two, to be allocated in the next water year, will offer up 60GL.
National Irrigators Council chief executive officer Steve Whan said given improved conditions in coastal NSW and Victoria, fodder may now not be the only high priority need.
"That Water for Fodder allocation could therefore go towards some food requirements as well," Mr Whan said.
"We're not necessarily in the long term in favour of having water allocated for particular crops because we think it should be left up to farmers to decide what they use it for.
"But, we certainly see the potential in the long-term to run the desalination plant more to avoid taking further water off irrigators."
60GL could help but won't solve rice industry's problems
He said they needed to be realistic about how much water there was available.
"The rice growers tell me that they need at least 200GL to get a crop that would meet the Australian demand, the second stage of Water for Fodder is 60GL," Mr Whan said.
"The Commonwealth Environmental Water Holder had only 4.9GL allocated to it at the end of February in the NSW Murray, so there's just not much scope."
Ricegrowers' Association president Rob Massina said re-purposing Water for Fodder to go towards growing staple foods, like rice, could help shore up domestic supply.
"Due to two years of drought and low water allocations there will only be around 50,000 paddy tonnes of rice harvested this year, nowhere near the 350,000 to 400,000 tonnes needed to supply the domestic market," Mr Massina said.
"There is a real risk that Australian grown rice will not be available on Australian supermarket shelves by the end of the year.
"In addition to that we have a situation with COVID-19, we're seeing countries which we would usually import rice from to supplement domestic supply, like Vietnam, Myanmar, Cambodia, who have shut their borders to protect their own domestic supply."
Allocating water for rice could put more in the pool for other commodities
He argued that any water made available to one key commodity, like rice, would allow irrigators to put more water aside for other products or industries.
"Rice growers don't only produce rice," Mr Massina said.
"Any water that is made available opens up opportunities for water to be used in cereal irrigation, pasture irrigation for dairy, for fat lamb production, it would have a whole roll on effect for economic activity."
In a statement federal water minister Keith Pitt said they would await the outcomes from a survey into the first round of Water for Fodder, before making decisions on any changes required, in conjunction with the South Australian Government.
