NSW DPI researchers from Yanco in the Riverina will collaborate with north coast pioneer rice grower, Gary Woolley, in the trials near Lismore due to commence later this year.

"The world is hungry for rice – and rain-fed aerobic rice varieties, grown in the sub-tropics where nature supplies the water, offer potential for growth," NSW Minister for Primary Industries, Ian Macdonald said.

"Mr Woolley is the only rice producer on the NSW north coast but his yields reveal early signs that there may be potential for rice in the area, particularly where soybeans are too risky due to flooding."

Mr Macdonald said 'upland' rice was more tolerant to fluctuations in water availability and temperature than rice grown under a flooded culture, but it lacks the high-yielding production.

"Aerobic rice varieties represent a viable middle ground between high-yielding lowland production and the sturdiness of upland production," Mr Macdonald said.

"They offer potential to overcome the daunting global need for more rice off less water."

Mr Woolley's first commercial crop was grown in 2006/07.

Last season he produced 27 tonnes from 7.8 hectares to average 3.46t/ha.

This year's crop of 24ha has survived four weeks under water.

Mr Macdonald said the challenge is to select rice varieties that are adapted to the aerobic production system and have premium grain and cooking qualities.

The NSW DPI rice breeding program at Yanco has sourced aerobic rice varieties from China and The Philippines, with support through market intelligence from Sunrice.