Federal Agriculture Minister David Littleproud and Riverina MP Michael McCormack announced the funding on Monday, which will go towards Wagga's Southern NSW hub development and focus on water management, food security and farming systems.

Southern NSW hub director Cindy Cassidy said the research organisation represented a change in how Australia approached agricultural innovation and supporting farmers.

"We see our partnership of four regional universities, state government organisations and local farming organisations as critical to bringing science to the people and places that can best use those tools and insights," she said.

The Wagga hub will also receive $375,000 to provide farmers in Southern NSW with practical assistance to improve soil health and testing.

A new Regional Soil Coordinator will now be now based at the local Drought Resilience Adoption and Innovation Hub.

Mr McCormack said the funding would put experts and innovation among "the best in the world" to work in the Riverina.

"The commitment we are making for soils is important, the expenditure we are making today to turn this from just a drought hub to an innovation hub for all agriculture is important," Mr McCormack said.

"What it is going to do is put Charles Sturt University, AgriFutures, Riverina agriculture and the drought hub at the forefront of preparedness for the next drought, at the forefront of innovation in agriculture so we can grow production and use every drop of water wisely."

Mr Littleproud said the $20 million fund for eight hubs across Australia was about "the evolution of Australian agricultural innovation".

"[It's] getting them not just to do the innovation and science and research into drought preparedness but into the full agricultural production system to get a better return for the Australian taxpayer," he said.

The national network of Drought Resilience Adoption and Innovation Hubs were established as part of the federal $5 billion Future Drought Fund.

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