Sixty-per-cent of the state's irrigation scheme entitlements were accessed by farmers over 2018-19.
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Tasmanian Irrigation released its annual report this week which showed the scheme had an increased capacity of 123,323 megalitres over the year, of which 108,807 megalitres were sold in entitlements.
The report showed farmers accessed 64,784 megalitres from the scheme which was up from 58,924 megalitres the previous financial year.
The body said water entitlement sales had exceeded the projections significantly due to a large water sale in the Whitemore Irrigation Scheme.
The report noted the last project under the second tranche of the scheme, the Scottsdale Irrigation Scheme, was under construction and due to be completed at the start of 2020.
Sixteen schemes are operational within the state.
Three new schemes were commissioned in the past financial year.
There are 10 irrigation projects to be delivered under the third tranche of the scheme which, when completed, will have the capacity to provide up to 180,128 megalitres to state farmers.
The Tasmanian Dairy Industry Authority in its annual report showed there had been a decline in licensed dairy farms again on the previous year.
At least six of the 17 farms no longer required licences due to consolidation with another business.
There was a slight decrease in milk volumes in 2018-19 to 909 million litres.
This was below the 913 million litres produced in 2017-18 but above the 835 million litres produced in 2016-17.
The volume of milk produced in the state has gone up 30 per cent compared to 2000-01.
There are more than 400 dairy farms in Tasmania.