Annual crops were grown in alleys between belts of perennial shrubs or trees over 3-4 years at 3 sites across low rainfall (<450 mm) south-eastern Australia. At the two lower rainfall sites (Pallamana and Walpeup), crop grain yields within 2-5 m of shrub belts declined significantly with time, with a reduction equivalent to 45% over 9 m in the final year of cropping. At the third, wetter site (Bridgewater), the reduction in crop grain yields adjacent to tree belts was not significant until the final year of the study (12% over 11 m) when the tree growth rates had increased. The reductions in crop yield were associated with increased competition for water between the shrub or tree belts and the crops once the soil profile immediately below the perennials had dried. At all 3 sites during the establishment year, estimates of water use under the woody perennials were less than under annual crops, but after this, trends in estimates of water use of alley farming systems varied between sites. At Pallamana the perennial shrubs used a large amount of stored soil water in the second summer after establishment, and subsequently were predominantly dependent on rainfall plus what they could scavenge from beneath the adjacent crop. After the establishment year at the Walpeup site, water use under the perennial shrubs was initially 67 mm greater than under the annual crop, declining to be only 24 mm greater in the final year. Under the trees at Bridgewater, water use consistently increased to be 243 mm greater than under the adjacent annual crop by the final year. Although the shrub belts used more water than adjacent crop systems at Walpeup and Pallamana, this was mostly due to the use of stored soil water, and since the belts occupied only 7-18% of the land area, increases in total water use of these alley farming systems compared with conventional crop monocultures were quite small, and in terms of the extent of recharge control this was less than the area of crop yield loss. At the wetter, Bridgewater site, alley farming appeared to be using an increasing amount of water compared with conventional annual cropping systems. Overall, the data support previous work that indicates that in lower rainfall environments (<350 mm), alley farming is likely to be dogged by competition for water between crops and perennials.
