Emergency services were called to the river in Moama about 10am on Sunday after reports a man had been seriously injured while skiing on the water.
New South Wales (NSW) Police said, on arrival, paramedics from Ambulance Victoria found a man who had died at the scene.
The man was a competitor in one of the teams in the event.
Moama Water Sports Club president Steve Shipp said the skier fell and could not be revived.
“Racing was immediately suspended and since been cancelled,” he said.
“As a ski racing family we are here to support the affected family and team members as well the wider ski racing community in this terribly sad time.”
The man is yet to be formally identified.
Police say officers from the Murray River District are investigating the circumstances surrounding the incident.
The Moama Water Sports Club is cooperating with NSW Police and Transport for NSW (Maritime) in their investigation.
Anyone with information or video footage is urged to call police or Crime Stoppers on 1800 333 000.