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 Media Release: Wheat export licences confirms need for AWB reform  ( 26/08/2008)


The importance of AWB reform has been reinforced with the announcement that five bulk wheat export licences for domestic and multinational grain traders have been approved by Wheat Exports Australia, AWB Managing Director, Gordon Davis said.

Mr Davis said the announcement confirmed that competition now exists in wheat export marketing and AWB must be able to compete on a level playing field without an outdated Constitution.

“Anyone who thinks AWB can be retained as a surrogate Single Desk must now confront the fact that AWB has to compete against domestic and multinational grain traders that do not have Constitutional constraints on what they do,” Mr Davis said.

“Our competitors will gain a competitive advantage if agri-political activists continue to use AWB as a platform to resurrect the Single Desk.  The losers will be wheat growers who want AWB to provide them with the best possible price, the best service and security of payment.”

Five companies have been accredited to export wheat in Australia under the new wheat export marketing arrangements, including:

  • Cargill Australia Limited
  • Elders Toepfer Grain Pty Ltd
  • Goodman Fielder Consumer Foods Pty Ltd
  • Grain Pool Pty Ltd
  • OzEpulse Pty Ltd

Mr Davis said that AWB has applied for accreditation as a bulk wheat exporter but there were no guarantees that the company would receive a bulk wheat export licence while it retained an outdated governance structure.

“It is critical that A class shareholders take advantage of the extension to voting until 2 pm next Monday 1 September to vote yes for AWB reform and allow AWB to compete on a level playing field with domestic and multinational competitors,” Mr Davis said.

“Time is running out for AWB to get match fit to face up to the new realities of a competitive wheat export marketing environment.  This represents a call to arms to every wheat grower who wants a competitive AWB in the market.”

Media enquiries, contact:   
Peter McBride, Media Relations Manager, on Tel: (03) 9209 2174 or Mob: 0417 662 451

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