Riverland-based MLC, and opposition spokesperson for regional South Australia, Nicola Centofanti, has provided the below opinion piece regarding the potential transition of crops for local wine grape growers…

Nicola Centofanti, Murray Pioneer

While many irrigators have been removing patches of wine grapes and converting to other crops, there are still many grape growers feeling the impact of ongoing low prices.

With consumption of commercial wine falling globally and the large volume of wine retained in storage, there is little cause for optimism in the immediate future.

But there may be some assistance via a program between the State and Federal Government for funding to assist transition from unprofitable crops to better options.

The River Murray Communities Water Transition Program uses Federal Government funding, through state agencies who will administer the program.

An agreement between the State and Federal Governments, aims to recover water to the environment with incentives for irrigators who can demonstrate efficiency gains from this change. It aims to assist river communities transition to a more sustainable and profitable future.

Improving efficiency is a challenge for South Australian irrigators, who are already the most efficient in the nation.

With the use of water for irrigation effectively capped in 1968, the only way for irrigators in this state to get bigger was to be as efficient as possible.

Unlike upstream irrigators, many methods of improving efficiency, such as fully enclosed delivery systems, drip irrigation and soil moisture monitoring, are already in common use.

The burden of this previous investment, plus the costs of energy, employment, and compliance have come when many commodities are receiving historically low returns. Few irrigators have enough disposable income or borrowing power to fund a transition on their own.

This program has the potential to make a difference on the condition that it is well managed.

It is incumbent upon the State Government to act in your interest. Firstly, the Minister should ensure that South Australia receives a fair share of federal funding for the water recovered and the efficiencies gained.

Our irrigators should not be left behind after doing the early heavy lifting.

We must also ensure that the Riverland has sufficient irrigation capacity to be profitable in the long term, and that the viability of irrigation trusts is ensured.

Secondly, the government must ensure that it fulfils its commitments as soon as possible.

While the Federal Government is currently in caretaker mode, it is imperative that the business case is approved, and that whatever the makeup of the incoming Federal Government, our minister hits the ground running to access these funds as soon as possible.

Thirdly, it is important that the State Government offers a co-contribution to address any shortfall in achieving the necessary reform. Leveraging federal funding will allow the required transition to be faster and more effective.

High-quality food production is vital in a growing world, and the Riverland is well-placed to be a long-term contributor to the state’s economy, so is a worthy investment.

Currently, it appears there is little urgency in the roll out of this program from the State Government and, in fact, one is hard pressed to find out how it is tracking.

The State Government and the Minister must be transparent, prompt and open with communications about the program to enable people to make important decisions as soon as possible.

I have written to the Minister on behalf of South Australian irrigators to this effect. It is vital that this opportunity is taken and that Riverland businesses are given the confidence and direction they deserve to build a better future.

This article appeared in Murray Pioneer, 23 April 2025.