| ||AWB Basis Pool open for 2004|| ||
Growers seeking to take advantage of early price risk management opportunities for the next season’s crop can do so with the opening of the 2004 AWB Basis Pool contract.
AWB Limited’s Group General Manager Trading, Peter Geary, said many Australian growers were seeking marketing tools for earlier price risk management to take advantage of commodity and currency hedging opportunities.
“AWB Basis Pool allows growers to be more active in generating their own returns by managing their own risk,” Mr Geary said.
AWB Basis Pool gives growers the opportunity to access the benefits of the active management of AWB National Pool and the Single Desk system, combined with the flexibility to choose the timing of their wheat futures and currency hedging.
“With AWB Basis Pool growers can begin hedging wheat futures and foreign exchange risks now, more than 12 months out from harvest, and still take advantage of the benefit of premiums AWB achieves from wheat sales in the international market through the basis component,” Mr Geary said.
“This gives growers more flexibility, and the opportunity to capture a wheat price which specifically suits their business,” Mr Geary said.
AWB RiskAssist offers a complete service to complement the Basis Pool, including futures brokerage, foreign exchange risk management, financing of hedge positions and balanced grain marketing advice. AWB RiskAssist is a licensed futures broker.
Growers wanting to generate returns through AWB Basis Pool can work with AWB RiskAssist to develop hedging strategies to manage their price risk.
For more information, growers should contact their local AWB regional office.