| | Media Release: AWB $10 early commitment contracts going fast | | |
(
14/09/2009) |
AWB’s $10 a tonne premium early commitment contracts for AWB’s 2009/10 season wheat pools opened on Monday, 14 September and growers have jumped at the offer – so much so that it is likely to close early.
The offer is scheduled to close on 16 October, however on the first day growers have contracted almost half of AWB’s tonnage limit.
“Get in early” is the clear message, according to AWB General Manager Commodities, Mitch Morison.
“The strongest message I can give to people is that if you want to utilise these contracts to capture full benefit from our pools, then call us early or you might miss out,“ Mr Morison said.
“We are seeking to contract a substantial tonnage and have allowed five weeks to do so, but the level of interest is already so great that it won’t take anywhere near that long.
“We offered a premium contract during August and it was fully subscribed in less than two weeks. At the time, a number of growers told us they also planned to use the contract we have opened today, because it offers a later delivery window and wider tonnage tolerances, both of which are useful features.
“Our grower clients have clearly shown us today that they meant what they said, because our people are at full stretch to keep up with the calls coming in.
“Our latest contract offers delivery dates from the end of November right out to the end of January 2010, depending on location, and 10% tonnage tolerances.
“The offer has been developed after talking with grower clients, the intention being to create an opportunity for growers to lock in premiums and to enable our sales, commodity hedging and currency management activities to commence.
“Grower response is showing that it’s popular, so I would encourage anyone interested in the contract to talk to an AWB Grain Marketer or call the AWB hotline on 1800 054 433, without delay,” Mr Morison said.
AWB encourages growers to check the AWB website and familiarise themselves with the terms and conditions for its 2009/10 season wheat pools, before entering into wheat supply contracts.
AWB media contact: Ian Desborough 03 9209 2335 or 0418 853 881
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