More than $30 million has been pledged to help drought-stricken farmers in northwestern NSW.
NSW Primary Industries Minister Katrina Hodgkinson says the situation is deteriorating for many primary producers battling on without rain.
"It's very clear to me that producers in the northwest of NSW are dealing with this extraordinary situation," she told parliament on Wednesday.
She said many producers had only experienced two seasons in the last 10 years free of either drought or flood.
About $20 million will go towards a farm innovation fund to provide loans with concessional interests rates to landholders to mitigate against future risks.
Another $4.4 million will fund the next stage of the Cap and Pipe the Bores Program, and $6 million in NSW and Commonwealth funding will support the Mallowa Creek Water Supply Project.
The latter is aimed at guaranteeing water supplies for a group of landholders between Moree and Collarenabri.
Ms Hodgkinson said the announcement also included measures back-dated to July 1 to help landholders in Bourke, Walgett and Brewarrina local government areas.