The current water debate is centred on the water reform initiatives being developed and implemented in each state. In NSW and Queensland the water reforms are being strongly influenced by COAG requirements and the introduction of the Murray-Darling 'cap' on water use, both of which were adopted in 1995. The genesis of these can be attributed to the influence of economic rationalism, the 1992 Rio de Janeiro Agenda 21 declarations and the Barwon-Darling blue green algae outbreak of 1992. At the same time the influence of the globalisation of knowledge resulting from the communication revolution, better informed and organised pressure groups, community participation and the way the media tends to use conflict based reporting, cannot be ignored. The government agencies now involved in the water debate are significantly different to those of 10 or more years ago. Also for the cotton industry in part of Queensland the influence of integrated basin management has played an important role. Until the mid-1990's, when Queensland joined the MDBC it never saw it had a role or interest in Murray-Darling basin management. In fact some say that Queensland is still a reluctant participant in MDBC initiatives. Nowadays water management is not solely a valley issue, it must be placed within a basin context, and outcomes can be influenced by basin factors. The factors influencing tile water debate and changes in the water industry and water management will not diminish in the short term. The cotton industry will need to adapt to these changes, whilst continuing to adapt to other changing factors within its business.