Under the Rice Marketing Act 1983, rice vesting grants legal ownership of all rice grown in NSW with the marketing board.

NSW Deputy Premier Paul Toole joined state agriculture minister Dugald Saunders and SunRice chairman Laurie Arthur to announce the decision at Deniliquin's SunRice mill.

Ricegrowers Association president Rob Massina said an overwhelming majority of members wanted, and the community wanted to see vesting continued.

"It was these sentiments supported by motions from all RGA Branches and further research into the benefits that guided the RGA's submission into the review in support of the continuation," Mr Massina said.

"Members were also encouraged to have their own say about the marketing arrangements of rice in NSW."

The NSW Rice Marketing Board has granted a sole export and exclusivity licence to SunRice to market rice grown in the state.

READ MORE

SunRice chairman Laurie Arthur said rice vesting and a single marketing desk helped deliver $400 million in economic activity to growers, staff and local businesses during each year of "normal production".

"As our Riverina rice growers harvest the largest crop in five years, this decision from the NSW Government is a major vote of confidence in our industry and will enable SunRice to continue to navigate increasingly complex global rice markets," Mr Arthur said.

"The vesting and single desk marketing arrangements allow SunRice to deliver significant export price premiums and freight scale advantages, which ultimately lead to higher farmgate prices for the 98 per cent of Australian rice growers who farm in the NSW Riverina region.

"This unique partnership between the NSW Government, Riverina ricegrowers and SunRice, and the structured marketing arrangements, have allowed the industry to build positions and strong market demand for branded and other rice products in approximately 50 markets."

The extension of rice vesting follows a review by the NSW Department of Primary Industries.

"The rice vesting review found overwhelming support for the continuation of vesting arrangements by stakeholders in the state's major rice growing regions," NSW agriculture minister Dugald Saunders.

Mr Saunders said an independent report would be written to address issues raised in the 2021 review and provide clarity on how to support the industry.

"I would expect the NSW Government engage early with all industry stakeholders and that qualified experts are appointed to conduct the review. It will be essential for the consultants to have a thorough knowledge of how rice is traded globally and in Australia," Mr Massina said.

Our journalists work hard to provide local, up-to-date news to the community. This is how you can access our trusted content: