Leucaena (Leucaena leucocephala (Lam.) de Wit subsp. glabrata (Rose) Zarate) in combination with grass pasture is one of the most persistent, productive and sustainable grazing systems used in Queensland, Australia. Nevertheless, a better understanding of the competitive interactions that determine the proportions of leucaena and grass components is needed to optimise the design and management of the hedgerow pasture system. In a water-limited environment, belowground interactions between species are especially influential. Accordingly, the aim of this study was to determine the effect of leucaena plant density and Rhodes grass (Chloris gayana Kunth) competition on root distribution, evapotranspiration, patterns of soil-water use and the resulting water-use efficiency (WUE) of the leucaena and grass components.

Results showed that although leucaena had deeper roots than Rhodes grass, the majority of fine roots of both leucaena and Rhodes grass were in the upper 1.5 m of the soil profile suggesting a high level of competition for water resources. A major factor favouring Rhodes grass was that its root abundance was 8–10 times greater than leucaena, allowing it to compete more effectively for water resources and limit the lateral spread of leucaena roots. Higher cumulative evapotranspiration values were recorded from leucaena grown with Rhodes grass than from leucaena grown in absence of grass. However, this difference was negligible at the highest leucaena density owing to the reduced yield of grass caused by shading and increased water uptake of leucaena. The findings of this study also confirmed the hypothesis that at low tree densities, leucaena–grass pasture will have higher WUE (13.8 kg DM mm^–1) than sole leucaena, but this difference was reduced with increments of leucaena density. Highest WUE (65.9 kg DM mm^–1) occurred at highest leucaena density with or without grass.