Wheat growers who selected AWB Limited’s Basis Pool contract in 2000/2001 will receive a US67.55 cents per bushel basis for the third tranche, with a final payment announced today of $36.16 per tonne.

The announcement will take the weighted average for the 2000/2001 AWB Basis Pool to US55.23c/bu, with growers who delivered into the Basis Pool contracts receiving a total payment for APW of $221.04/t (FOB, GST exclusive).

AWB Limited General Manager Trading Peter Geary said AWB’s Basis Pool payment was calculated using the settlement value for December 2001 wheat futures of US274.50c/bu, and a hedge settlement rate of $0.5214 for converting US dollars into Australian dollars.

“To work out their net return growers need to also calculate the results of their currency and wheat futures transactions for the period, and deduct their costs,” Mr Geary said.

“Growers who hedged early, for example during the period of January to June 2000, were able to achieve 2000/01 Basis Pool returns of between $250 - $270/t for APW, with the added comfort of certainty on their returns.”

Mr Geary said the 2000/01 Basis Pool outcome was an excellent result for Australian wheat growers, and clearly demonstrated the value and performance of AWB’s National Pool, and the Single Desk for wheat exports.

“This is the best AWB Basis Pool result we have recorded, and really underlines the high standards we set in marketing the Australian wheat crop,” said Mr Geary.

AWB’s Basis Pool remains a valuable grain marketing option for growers who want choice, and the ability to play an active role in their price risk management strategies.

AWB also offers a risk management service, through AWB risk assist, to growers who choose its Basis Pool option.

AWB risk assist provides an all-encompassing service to support the Basis Pool, including wheat futures and currency transactions, financing of hedge positions and balanced advice on hedging with futures.

The 2001/2002 and 2002/2003 Basis Pool contracts are still open, however, the 2001/02 Pool will be closing soon. Growers who would like to get involved with Basis Pool, or find out more about it, should contact their local AWB Area Office.