Provincial and country racing in NSW will receive a $21 million prize money injection, deputy premier and racing minister Troy Grant announced on Tuesday.

The stakes increase, as well as a range of racing industry traineeship and apprenticeship schemes, will be the major spending initiatives from proceeds of tax parity legislation.

The legislation was passed in the NSW parliament last week, bringing NSW into line with the Victorian racing industry and will be rolled out over the next five years.

From July, minimum prize money for NSW country races will be $20,000, up from $15,000.

Provincial racing will also figure in a $5000 increase to a minimum of $27,000.

The package, announced in the deputy premier's seat of Dubbo, will also introduce showcase country race meetings.

There will be 40 meetings held across the state each season, carrying a $30,000 purse for each race.

"These increases will build upon the economic and social contribution made by thoroughbred racing, especially in country NSW," Mr Grant said.

Regional youth in high unemployment areas will be targeted as part of an annual Racing NSW commitment of $1 million.

"The first priority of the scheme will be to employ apprentice track curators," Racing NSW chief executive Peter V'landys said.

The governing body will also distribute $2 million annually to race clubs to meet operating costs.

During the phasing in of the wagering tax parity, the NSW government will gradually reduce its share of TAB gross wagering revenue to equal that of Victoria.

The move is expected to provide more than $180 million in additional funding for the NSW thoroughbred industry.

"Wagering tax parity is vital for the sustainability of racing in this state," Racing NSW chairman John Messara said.

"The challenge is now to ensure NSW has a competitive, vibrant and innovative racing industry."