Member for Dubbo Troy Grant said the agreement should allow small business owners and newsagents who sell lotteries products more time to diversify and adjust to the market.

“There are many NSW Lotteries agents is the region, who are an essential part of our community,” he said.

“This announcement is about making sure our local NSW Lottery agents and newsagents know this government is working with them through a time of change, so they can keep creating jobs, and provide great products and services to our local community.”

Snares Newsagent owner Peter Snare said the revenue from selling Lotto products is vital to the survival of country newsagents.

“Our survival would be hard without it,” he said.

“Lotto is a crowd puller, it has become an integral part of the business, and it started in newsagents 40 years ago.

“This is a win for country town newsagents and any small business that sells lotto; it is a good thing, it is a tragedy that supermarkets ever got mentioned in the lotto conversation.

“They’ve taken our newspaper product and magazine product, they’ve taken our card and stationary product, things that used to be unique to newsagents and they haven't turned around and produced an increase in sales for the publishers or themselves.”

Mr Snare said the announcement was great news for country newsagents.

“Newsagencies in regional NSW like ours are an essential and strong part of our communities,” he said.

​”We provide an essential service to our communities with newspapers and magazines, and we are the go-to point with lotteries and that sort of thing.”

In 2015 the NSW Government created the $15 million Newsagent Assistance Fund to support newsagents to update their lottery point of sale shop fit outs, with up to $10,000 per newsagent. This funding remains available.