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 Foreign traders take 24pc of grains market 

Foreign traders take 24pc of grains market

23 Mar, 2009 10:57 AM
Overseas traders have snapped up about 24pc of the Australian grains market, with Cargill so far shipping 11pc of this year's harvest and Glencore International 4pc, according to today's Australian Financial Review.

The paper quotes industry analyst Jonathan Snape as saying AWB's share of wheat marketing in Australia has plunged to 20pc from 75pc since exports and shipments were opened to competition.

Commodity adviser Market Check says most farmers were in favour of the single desk's disappearance.

"One thing a farmer hates is for his neighbour to be ahead of him. There were some farmers who liked the pooling because it grouped everyone together equally. But most are happy with the added competition," managing director Brett Stevenson says.

By world standards, Australia is a relatively small producer of grain, but about 80pc of the wheat and barley is exported, making Australia the world's fourth-largest wheat exporter.

Grain exports are expected to total 15.4 million tonnes in 2008-09, of which 10.2mt is wheat, Citigroup says.

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comments


Date: Newest first | Oldest first
I believe that Brett Stevenson is delusional when he says that most growers do not want a single desk - he will remain in denial because he was instrumental in destroying an iconic marketing system which was in the growers' and the nation's best interests.
Posted by Spray Fallow, 23/03/2009 9:07:22 PM
I wouldn't take too much advice from "market check". Since when does 80% (the usual figure gained from surveys made by local members in traditional wheat growing electorates, some even being liberal) support for keeping a single desk translate to most farmers wanting it to disappear? Maybe this is the same as a 25% vote against, taking away grower interest dominating AWB. The Liberal National Party sure could have used this principal in the recent Queensland election.
Posted by rod, 24/03/2009 12:01:45 PM
Keep blaming everyone. There is no way the old system is coming back!
Posted by Bill, 25/03/2009 8:22:21 PM
Democracy will eventually prevail in ag politics again, then people like Bill will need to find another soft target to attack.
Posted by Ken, 26/03/2009 8:14:03 PM

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