The Productivity Commission will review the operation and the costs and benefits of the Wheat Export Marketing Act 2008 and the Wheat Export Accreditation Scheme 2008 which came into effect in July last year.

 

Senator Fiona Nash said growers are losing confidence in the new selling arrangements.

 

“The marketing of Australian wheat is a shambles. The uncertainty of where to sell is causing wheat to be stored for longer, there are demurrage charges of boats waiting at sea for extended periods while they wait for a possible load and there is no strategic targeting of export markets.

“These are adding to costs and traders are taking their slice, reducing returns to growers.”

 

Senator John Williams said there are many growers who are still upset at the abolition of the single desk, and now is their chance to have their say.

 

“Since March last year, the world indicator price of wheat has fallen from a high of $US428 a tonne to $US226 a tonne last month.

 

The rebuilding of world wheat stocks and the rising Australian dollar are putting downward pressure on the price Australian growers are receiving.

A rally of disgruntled wheat growers in Canberra earlier this year shows there is still deep anti-deregulation sentiment, despite Wheat Exports Australia saying it has the accreditation process ‘bedded down’ and its systems are well in place.

The Nationals fought for the retention of the single desk, and have adopted as policy that we support growers who want to establish a fair system for the marketing of wheat in order to maximise returns for the national crop. The Senators urge all wheat growers to take up this invitation to tell the Labor Government what a disaster they have created.

 

The Productivity Commission Inquiry will receive submissions until the 13^th of November this year followed by a series of public hearings and roundtables, and the report has to be presented to the Government by the 1^st of July next year.

 

Details are available at http://www.pc.gov.au/projects/inquiry/wheatexport