FARMERS will need retraining to move off the land in the next five to 15 years as climate change renders their farms unviable, a labour economist has predicted.
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The federal government said only farmers with viable businesses would be able to access the $280 million in cheap credit announced on Wednesday.
But Charles Sturt University economics professor, John Hicks, said the money would inevitably prop up farms with no chance of prospering on their own again.
"There are people on the land at the moment that don't want to be in farming and who perhaps should not be in farming," Professor Hicks said.
"Those folks need to be assisted to get out of farming."
Professor Hicks said the government provide retraining for farmers and workers in farming-related businesses, as well as incentives to move into other work.
He rejected claims that the farming industry would bounce back after the end of the drought, which the government has called a "natural disaster".
"The issue is a lot greater than just a one-off help for a current period of drought,"Profesor Hicks said.
"These periods of drought seem to be happening far more regularly than they did in the past."
Professor Hicks' colleague, sociologist Merrilyn Crichton, said the $10 million pledged for mental health support was a "token figure".
"You can spend that money fairly quickly but this is a long-term problem," Dr Crichton said.
"We've got an over-stretched and over-worked workforce."
Dr Crichton said her research showed many people in country areas did not like online counselling or sessions with fly-in counsellors.
"People were telling us they didn't feel understood by people who came in from the city," Dr Crichton said.
The NSW government has welcomed the Coalition's drought relief package, saying it complemented two rounds of state support pledged this month. T
he NSW Farmers' Association also applauded the move.
"Farmers are facing some of the toughest climatic conditions in 60 years," president Fiona Simson said.