Reforms to the NSW Rice Marketing Act

An exclusion area has been created in the Northern Rivers rice growing region of NSW.

What does this mean?

• An ‘excluded area’ has been created which comprises the Local Government Areas (LGAs) of Ballina, Byron, Clarence Valley, Kyogle, City of Lismore, Richmond Valley and Tweed.
• This ‘excluded area’ will be exempt from the operation of the Rice Marketing Act from 1 September 2024.
• This change means that rice cultivated and harvested in the excluded area after 1 September 2024 will no longer vest in the Rice Marketing Board and will not be subject to conditions for sale or supply of this rice in domestic or export markets.
• Rice cultivated and harvested prior to 1 September 2024 will remain vested and will remain subject to the current rice vesting arrangements. The Rice Marketing Board will continue to monitor compliance with these arrangements.
• The 1 September 2024 date was chosen to provide a clear delineation between rice that remains vested (grown prior to 1 September 2024) and rice that is not vested (rice grown after 1 September 2024).

Rice vesting for the rest of NSW will come to an end on 1 July 2025.

What does this mean?

• After 1 July 2025, all rice grown in NSW will no longer be controlled by the Rice Marketing Board.
• This change means that that rice cultivated and harvested after 1 July 2025 will no longer vest in the Rice Marketing Board and will not be subject to conditions for sale or supply of this rice in domestic or export markets.
• Rice cultivated and harvested prior to 1 July 2025 will remain vested and will remain subject to the current rice vesting arrangements. This includes rice cultivated during the 2024-25 rice season. The Rice Marketing Board will continue to monitor compliance with these arrangements.

The Rice Marketing Board will be wound up and dissolved by 1 July 2026.

What does this mean?

• The Rice Marketing Board will need to commence finalising its affairs before 1 July 2026.
• The Rice Marketing Board will continue to monitor and enforce compliance with the Act.
• The Board will officially be dissolved, and the assets, rights and liabilities of the Board will be transferred to an appropriate NSW public authority.
• The Rice Marketing Act 1983 will then be repealed.

The amendments have been progressed in response to the findings of the 2021 NSW Government Review of Rice Vesting and the recommendations of the ABARES Independent Report into Rice Vesting, and feedback from the rice industry.

These reforms will:

• Remove the main barrier to industry growth in the Northern Rivers region.
• Give all rice growers greater choice in who and how their rice is marketed.
• Create an opportunity for greater competition and industry innovation.
• Support the continued development and long-term viability of the NSW rice industry.

I am a rice grower based in the Northern Rivers excluded area. What do these changes mean for me?

• From 1 September 2024, rice grown in the excluded area is not subject to vesting or the exclusive export arrangements.
• This means that any rice grown from 1 September 2024 onwards is not vested rice and can be freely marketed both domestically and internationally.
• Rice grown and harvested prior to 1 September 2024 (ie. the autumn 2024 harvested crop) cannot be exported and remains vested rice. This means that the first rice crop in the excluded area that can be sold into export markets will be from the 2024-25 rice crop.
• Rice grown prior to 1 September 2024 will need to be purchased by an Authorised Buyer.
• Rice grown after 1 September 2024 can be purchased by anyone and sold into domestic or international markets.
• Rice growers who are also not Authorised Buyers licence (ABL)-holders can invest in on-farm rice storage infrastructure if they so choose however cannot commence storing rice until the 2024-25 crop.

I am a rice grower based in the Riverina or Murray rice growing region. What do these changes mean for me?

• From 1 July 2025, all rice grown in NSW will no longer be subject to vesting or the exclusive export arrangements.
• This means that any rice harvested after 1 July 2025 is not vested rice and can be freely marketed both domestically and internationally.
• Rice grown and harvested prior to 1 July 2025 (ie. the autumn 2025 harvested crop) cannot be exported and remains vested rice. This means that the first rice crop in the excluded area that can be sold into export markets will be from the 2025-26 rice crop.
• Rice grown prior to 1 July 2025 will need to be purchased by an Authorised Buyer.
• Rice grown after 1 July 2025 can be purchased by anyone and sold into domestic or international markets.
• Rice growers who are also not ABL holders can invest in on-farm rice storage infrastructure if they so choose however cannot commence storing rice until the 2025-26 crop.

I am an Authorised Buyer who trades in rice grown in the Northern River excluded area. What do these changes mean for me?

• From 1 September 2024, you will no longer require an Authorised Buyers licence (ABL) to store, purchase and supply in rice grown after 1 September 2024.
• You will need to retain your ABL if you have rice stored and/or have or intend to purchase and trade rice that was harvested during the autumn of 2024 (ie. the rice crop grown over the summer of 2023-24). This rice remains vested rice and remains subject to the vesting conditions including the exclusive export arrangements.
• Authorised Buyers will need to continue to adhere to the conditions of their licence for all rice that remains vested (ie. rice grown during the 2023-24 season). This includes all annual returns and fees payable to the Rice Marketing Board.

I am an Authorised Buyer who trades in rice grown in the Riverina and/or Murray Valley. What do these changes mean for me?

• From 1 July 2025, you will no longer require an Authorised Buyers licence (ABL) to store, purchase and supply in rice grown after 1 July 2025.
• You will need to retain your ABL if you have rice stored and/or have or intend to purchase and trade rice that was harvested during the autumn of 2025 (ie. the rice crop grown over the summer of 2024-25). This rice remains vested rice and remains subject to the vesting conditions including the exclusive export arrangements.
• Authorised Buyers will need to continue to adhere to the conditions of their licence for all rice that remains vested (ie. rice grown during the 2024-25 season). This includes all annual returns and fees payable to the Rice Marketing Board.

In-line with the requirements of Authorised Buyers storing, purchasing and supplying in rice grown within the Riverina and Murray Valley, the SEEL holder will need to remain an Authorised Buyer and continue to adhere to the conditions of their licence for all rice that remains vested (ie. rice grown during the 2024-25 season). This includes all annual returns and fees payable to the Rice Marketing Board.

This will also mean that the SEEL will continue to apply for all rice grown prior to 1 July 2025.

The SEEL holder will also be required to fulfill their role as the Buyer of Last Resort and maintain a rice pool for all rice grown prior to 1 July 2025 (except for rice grown in the excluded area).

The Rice Marketing Board’s role is to administer the day-to-day functions of the Rice Marketing Act.

The legislative changes will involve some administrative changes for the Board over the next few years and will ultimately result in the Board coming to an end before1 July 2026.

This means that the Rice Marketing Board will no longer receive Annual Returns and Fees from buyers in the excluded area including annual rice production tonnage information.

The NSW Government is committed to providing support to the industry as it navigates and manages these changes. The NSW Department of Primary Industries and Regional Development (DPIRD) will lead a Rice Transition Group (RTG).

The RTG’s primary role will be providing advice to the Minister for Agriculture on the winding up of the affairs of the Rice Marketing Board.

The RTG will comprise representatives from DPIRD and the Rice Marketing Board.

DPIRD will also set up and chair a Stakeholder Reference Group to seek the views of stakeholders to support the advice provided to the Minister on transitional issues including:

• R&D opportunities to support new markets and address emerging crop disease issues
• ensuring seed supply is maintained for all rice growers
• investigating regional development opportunities to support the industry during the transition.
• Division of RMB assets

Individual rice growers and other industry stakeholders can contact the Stakeholder Reference Group with any questions that they may have relating to the rice marketing reforms and/or their role and responsibilities during the transition period.

The Stakeholder Reference Group can be contacted via email: ricetransition.group@dpi.nsw.gov.au