The Carrathool Shire is a local government area that borders both the Riverina and Far West regions of New South Wales, Australia.

The Shire also includes the villages of Merriwagga, Rankins Springs and Carrathool.

Where once regular droughts made life almost untenable, the area now has irrigated crops, gardens, greened sporting facilities and village verges.

Over 15,000 square kilometres (5,800 sq mi) are now used in rural pursuits, including more than 600 square kilometres (230 sq mi) in wheat, rice, vineyards, cotton, potatoes, vegetables and orchard trees.

The decision was made because Carrathool township was located at the south-west corner of the large shire, whereas Goolgowi was in a more central position.