Leaders of an emerging dry-land rice growing industry on the Northern Rivers are furious that state government ignored its own advice to maintain monopolistic marketing of the grain for at least another five years.
The decision earlier this month to maintain status-quo for the NSW rice industry, bound by a statutory rice vesting proclamation, came hot on the heels of a report by NSW DPI published in April that strongly recommended the abolishment of controlled marketing. The NSW Productivity Commission made a similar recommendation to cease rice vesting - in which all grain grown in the state becomes property of the rice marketing board.
There are relaxed rules around domestic marketing of rice but Natural Co crop consultant Steve Rogers points out that supermarket shelf space is dominated by SunRice, which maintains the sole and exclusive export licence, with little room for a disruptive entity in another corner of the state.
The DPI report asked the question "Do the benefits of rice vesting outweigh the costs to the community as a whole?" to which its authors replied, "There is no conclusive evidence of net benefits to rice growers or the community, from the current vesting arrangements. Vesting is restricting the growth and development of domestic supply chains, prospective new export supply chains, and inhibiting innovation in some farm businesses".
Executive director of the Rice Growers' Association Graeme Kruger praised the government decision saying it was in the best interest of the majority of growers who would remain protected by the sole marketing arrangement from a volatile global trade.
"The NSW Productivity Commission never came to industry to understand its complexities," he said.
Meanwhile NSW Agricultural minister Dugald Saunders has said: "After significant stakeholder consultation, the review found the majority of rice growers in NSW supported the extension of the current export arrangements.
"Following the decision to extend export arrangements, we have also commissioned an independent report to address a broad range of issues identified by the 2021 Review."
"It defies logic," says owner of the Natural Rice Co Nelson Green, who had hoped for an export licence the last time there was a review of marketing arrangements five years ago.
"The industry in the Riverina is mature enough to no longer need market protection but this is a cosy relationship that's been going on for years and they don't want to disrupt it."
Rain-fed rice from the Northern Rivers differentiates from paddy-grown southern rice most notably by its lack of methane production - 80 per cent lower - as a result of aerobic production. This sustainable story deserves to be told, says Mr Green, and has already attracted interest from finicky buyers from the UK, but sales will be curtailed until the vesting agreement is broken.
"We need to increase food production while decreasing our emissions footprint and dryland rice does this," he said.
Currently Natural Co dryland rice, brown and white, is available through Coles.
The 5000 tonne a year industry is capable of lifting to 20,000t based on grower interest and rice consultant Mr Rogers believes the Northern Rivers could support a 50,000t a year industry across 10,000ha if the shackles came off.
"We could go to Queensland, where there are no restrictions but here on the northern rivers growing conditions are perfect. There is no shortage of moisture. Rice just grows here."
At South Gundurimba via Lismore rice grower Adam Dawson 's Tashiminori crop, on our cover, was inundated by floods this year and yet this crop is estimated to top 10t/ha.
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