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Water prices set to break $300 per megalitre
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Water prices look set to break the $300 per megalitre mark within the next week as the market enters the final months of the water trading season.
Since January, the water market has seen some of the most stable prices in over 18 months with the January and February average price at around $280/ML. However, since the start of March prices have started to rise and many trades are now being recorded at $300/ML and above with the average price sitting at $296/ML.
Waterfind operations manager Mark Siebentritt said that “temporary water prices since Christmas have provided the most affordable time to buy water so far this season.”
“Buying demand is now starting to pick up and with limited further allocations becoming available in recent announcements by the New South Wales, Victorian and South Australian Governments, the supply of water in the market has started to become constrained.”
The average daily temporary water price has not exceeded $300/ML since early January.
The rise in prices mirrors the pattern in the market in 2007–2008, where prices started to rise again from February through to the season end in June.