Cotton planting in the rapidly expanding southern region of NSW is now in full swing.

Some growers in the Murrumbidgee Valley are favouring the crop over rice this season, because of the high cost of temporary water.

John Mirabelli says switching to cotton, after growing vegetables for 20 years at Hay, has been well worth it.

He's into his third season of cotton and plans to grow 300 hectares on his property this year.

"Look, the vegetable industry is just not a good place to be at the moment.

"I actually really enjoy growing cotton, it's a very interesting crop to grow.

"I've been lucky enough to lock a reasonable amount for next season and it's all up around $500 (a bale), so I'm pretty happy with that."