Growers give in to water sales: Without access to water, those who sold their entire allocations were effectively ruling themselves out of ever farming again Gordon said. "A lot of people are selling off their water and just keeping their house on the block, then getting a job, but they’ll never get back into growing," he said.
Vineyards abandoned: Michael de Palma, chair of the Murray Valley Winegrowers Association, said many growers in the Riverina area in southern NSW had effectively abandoned their vineyards, leaving the paddocks untended while they took paid employment elsewhere.
Limited interest in sale of land: Grape grower Keith Sharman, 45, from Red Cliffs near Mildura, said he had been trying to sell half of his 40ha holding since January but had not received a single inquiry, despite the next two years’ grape production being contracted to a winemaker. At $10,000 an acre ($24,700 a hectare), it is less than half the price it could have fetched three years ago.
Produce sold at below cost: "If I don’t sell this 50 acres in the next few months, then next year the grapevines will get pushed out and it will be planted with almonds," Sharman said. He was able to sell all his vintage this year, but at only $300 a tonne - below the $350-a-tonne cost of production and down from the $1200 a tonne he was getting five years ago.
The Australian, 22/7/2006, p. 7
Source: Erisk Net
