Continuing rain in the Murray and Goulburn River catchments has raised hopes temporary water prices could be slashed in half, this season.
Northern farmers said they were optimistic allocations would rise to 100 per cent, by the end of this season, which they said should result in the sharp drop in prices.
Late last week, the Murray Darling Basin storages stood at 519GL, or 46 percent capacity, but by Monday the Hume was up to 57pc.
Goulburn-Murray Water (G-MW) river operations planning manager Andrew Shields said the Eildon dam was up to 43pc.
“Over the last week or so, we have seen and increase of 100,000ML, or three pc, that’s been the best weekly increase we have seen this winter,” Mr Shields said.
“More showers and fronts are forecast to come through, over the next few days, probably not as much as last week, but the inflows should stay up, over the next week.”
The Bureau of Meteorology (BoM) has predicted near median to high stream flows were likely, between July and September.
Mr Shields said the Goulburn system was tracking close to an average scenario.
“The Broken system is another we look after, it’s gone from 45pc to 60pc in the last week.”
There had been smaller increases on the Campaspe and Loddon systems, but they were “heading in the right direction,” he said.
Dairy farmer Tim Humphris, Tongala, said he had been tracking inflows into Eildon in recent months and was very confident.
Several days ago, 32,000ML had flowed into the Eildon catchment in one day, which was the highest in 18 months.
“Even though we are a long way behind the levels from last year, the inflows are substantially better, making great inroads into catching that up.”
Mr Humpris, who has a 300 cow herd, said more water in the catchments would mean less demand for irrigation, and lower prices.
“None of the irrigated crops will need finishing off, there will be enough natural rainfall to finish them off,” Mr Humpris said.
Water might drop from highs of $245ML to around $100ML; last week it was trading around $157 on Waterpool.
He said Victorian irrigators would also benefit, if New South Wales GS water reached 100pc, as that would free up the resource.
“We probably own about a quarter of the water we use, so the temporary market has a big impact on our business, what we do and our profitability,” Mr Humpris said.
Mead dairy farmer Di Bowles said she was cautiously optimistic Victorian irrigators would reach 100pc of their allocation.
She said G-MW would release its next set of allocations on Monday, and was probably still operating on a “dry” scenario, as they were quite conservative.
“I budgeted $180ML and I would think it is going to be $120-140,” Ms Bowles said.
“The rice guys (in NSW) can pay a lot more for it than we can.”
She said irrigators would not need to water from August 15, when the season started, and were unlikely to have to turn on the taps until October.
“Last year, everyone was watering from day one, but I don’t think it is going to happen this time.”
Cheaper water, or not having to use irrigation, would mean northern farmers were more competitive, in the current dairy downturn.
Southern Riverina croppers said they were also optimistic of getting 100pc general security water, in that region.
Elders Deniliquin’s agronomist Adam Dellwo said runoff into the catchments had been “terrific news for irrigators.”
“The main thing for the irrigators is that now we can start to plan summer crops, we are also mindful of the fact we have to have them planted by October, because any allocations which come after that are no good for summer,” Mr Dellwo said.
“There is every chance we will get to 100pc, but not before October, if we could get to 30-40pc that would be good.”
He said Southern Riverina farmers would now be planning to plant rice, corn for grain or silage, sorghum or cotton.
