Vader and RationAl;
Chairman Ritter called me a liar... in so many words... that I didn't have a clue what I was talking about... for making the claim 3 times in the last week, that exempted barley sales in Western Australia had recieved a premium of close to $40/t over average pool prices in 2003-04.
What I said was true.
Here is the proof, you folks at the CWB can look it up for your selves!
As if you don't already know
http://www.world-grain.com/feature_stories.asp?ArticleID=72877
“BELMONT, AUSTRALIA — The Pastoralists and Graziers’ Association of Western Australia has warned the federal government that it will leave Australian wheat growers exposed to significant risk if it does not move quickly to adopt 24 key recommendations of the 2004 Wheat Marketing Review.
Leon Bradley, chairman of the PGA’s Western Graingrowers Committee, said his members were alarmed by an "apparent lack of urgency or enthusiasm" by Minister for Agriculture Warren Truss toward the Review.”
What did the PGA of Western Australia discover?
@ www.pgaofwa.org.au
“Grain Licencing Authority
Offering WA Growers Real Marketing Choice
The PGA believe single desk marketing, where the only outlet is compulsory
pooling, does not meet the needs of the modern grain farming operation. Pooling
operations averages risk instead of decreasing them. There is no chance for
growers to take advantage of price peaks. It also limits the flexibility of growers to manage their own business and create opportunities.
The claims by single desk monopolies that they can claim a premium in certain
markets via market power has been disproved by experience and by many
detailed studies (Legislative Review of the Grain Marketing Act 1975, Agricultural Department of WA, 1999; Review of the Victorian and South Australian Barley Marketing Act, CIE, 1993 and at a national level the National Competition Policy Review of the Wheat Marketing Act 1989, Irving et al, 2000).
There are usually many sellers of prescribed grains into the international
markets, but in South Australia and Western Australia there is only one buyer which means growers also have to procure the services associated with grain marketing from that one provider.
Contrary to the predictions of the defenders of the staus quo, a tiny amount of commercial opportunity by the GLA in 2003/04 has enabled those 702 growers in WA, who sold to special licence holders, to do better than the ‘experts’ that manage the pool.
This confirms the experience in Victoria where net farm gate returns for producers have improved since deregulation.”
Specifically, here is what the PGA found:
“Season 2003/04 Overview
The first of these special licenses was issued by the GLA in November 2003 for
barley. 12 licenses were granted in the 2003/04 season which totalled 968,000 tonnes of various grains, all destined for export. The licensees were all experienced grain traders and there has been no report of growers having problems with their contracts.
Feed Barley
a) 702 WA growers sold barley to marketers under the licenses
b) Special licences competing in market increased $10-$15 over existing
Agracorp prices
c) These same growers are now $35-40 ahead of the 2003/04 pool
d) WA growers, for the first time since Victoria deregulated their domestic barley market (2001), received a premium on feed barley over their Victorian counterparts.
Feed Barley Statistics
... In August 2003 WA Agracorp’s cash prices were $45/t under Victorian cash
price bids. At the beginning of December 2003 the average WA feed barley
prices rose from a $10/t discount up to a $4/t premium over Victorian feed
barley, indicating that competition in the WA market generated a premium for
local growers.
...Once the special licences were filled the Agracorp cash barley price
immediately dropped back to $148 (Kwinana) on 30 th December 2003, a far cry from the $165 offered by Agracorp on 13 th Dec 2003 while competing
with the special licence holders.
Canola
... 48,000T were allowed to be exported under special licences in 2003/04
season, none of which has been shipped yet.
... Two licences were turned down (one on appeal and it is believed that this
particular order was filled by South Australian and Victorian Canola)
... Traditionally Agracorp’s cash prices are at least $20/t (port delivered) behind
Victorian prices, this disparity occurs even though WA enjoys a freight and
handling advantage (advantage is approximately $6/t)
... This season saw this disparity reduced to $6-$7/tonne due to the special licences introducing extra competition into the WA market.
Benefits to WA Growers of Special Licences
... Opportunity to increase cash component of crop. The cash contracts being offered by licence holders enabled growers to price a larger percentage of their crop for cash to allow immediate cash flow
... Opportunity for flexibility in borrowing program. With better access to cash prices for barley growers can reduce their borrowing exposure, by not having to finance all of their wheat crop through harvest loans
... Opportunity for all growers to receive export parity prices, The existence of the special licences have given growers outside Kwinana port zone the opportunity to avail themselves of export parity prices.
Benefit to WA economy
... At a $10-$15 per tonne premium this would have added an additional $3.5-
$6million into grower’s pockets and the WA rural economy in 2003-04.
... The Grain Pool of WA (GPPL) was forced to raise its cash bids in order to compete with special export license holders during this time. Although it has not been released as to how many tonnes GPL accumulated during this time it should be counted as a benefit to WA."
So Chairman Ritter can say I was wrong, didn't know what I was talking about, in front of everyone... when the CWB knew full well I was exactly right... as well should have Chairman Ritter.
Charlie;
Is this not illegal political manipulation of this election?
Chairman Ritter called me a liar... in so many words... that I didn't have a clue what I was talking about... for making the claim 3 times in the last week, that exempted barley sales in Western Australia had recieved a premium of close to $40/t over average pool prices in 2003-04.
What I said was true.
Here is the proof, you folks at the CWB can look it up for your selves!
As if you don't already know
http://www.world-grain.com/feature_stories.asp?ArticleID=72877
“BELMONT, AUSTRALIA — The Pastoralists and Graziers’ Association of Western Australia has warned the federal government that it will leave Australian wheat growers exposed to significant risk if it does not move quickly to adopt 24 key recommendations of the 2004 Wheat Marketing Review.
Leon Bradley, chairman of the PGA’s Western Graingrowers Committee, said his members were alarmed by an "apparent lack of urgency or enthusiasm" by Minister for Agriculture Warren Truss toward the Review.”
What did the PGA of Western Australia discover?
@ www.pgaofwa.org.au
“Grain Licencing Authority
Offering WA Growers Real Marketing Choice
The PGA believe single desk marketing, where the only outlet is compulsory
pooling, does not meet the needs of the modern grain farming operation. Pooling
operations averages risk instead of decreasing them. There is no chance for
growers to take advantage of price peaks. It also limits the flexibility of growers to manage their own business and create opportunities.
The claims by single desk monopolies that they can claim a premium in certain
markets via market power has been disproved by experience and by many
detailed studies (Legislative Review of the Grain Marketing Act 1975, Agricultural Department of WA, 1999; Review of the Victorian and South Australian Barley Marketing Act, CIE, 1993 and at a national level the National Competition Policy Review of the Wheat Marketing Act 1989, Irving et al, 2000).
There are usually many sellers of prescribed grains into the international
markets, but in South Australia and Western Australia there is only one buyer which means growers also have to procure the services associated with grain marketing from that one provider.
Contrary to the predictions of the defenders of the staus quo, a tiny amount of commercial opportunity by the GLA in 2003/04 has enabled those 702 growers in WA, who sold to special licence holders, to do better than the ‘experts’ that manage the pool.
This confirms the experience in Victoria where net farm gate returns for producers have improved since deregulation.”
Specifically, here is what the PGA found:
“Season 2003/04 Overview
The first of these special licenses was issued by the GLA in November 2003 for
barley. 12 licenses were granted in the 2003/04 season which totalled 968,000 tonnes of various grains, all destined for export. The licensees were all experienced grain traders and there has been no report of growers having problems with their contracts.
Feed Barley
a) 702 WA growers sold barley to marketers under the licenses
b) Special licences competing in market increased $10-$15 over existing
Agracorp prices
c) These same growers are now $35-40 ahead of the 2003/04 pool
d) WA growers, for the first time since Victoria deregulated their domestic barley market (2001), received a premium on feed barley over their Victorian counterparts.
Feed Barley Statistics
... In August 2003 WA Agracorp’s cash prices were $45/t under Victorian cash
price bids. At the beginning of December 2003 the average WA feed barley
prices rose from a $10/t discount up to a $4/t premium over Victorian feed
barley, indicating that competition in the WA market generated a premium for
local growers.
...Once the special licences were filled the Agracorp cash barley price
immediately dropped back to $148 (Kwinana) on 30 th December 2003, a far cry from the $165 offered by Agracorp on 13 th Dec 2003 while competing
with the special licence holders.
Canola
... 48,000T were allowed to be exported under special licences in 2003/04
season, none of which has been shipped yet.
... Two licences were turned down (one on appeal and it is believed that this
particular order was filled by South Australian and Victorian Canola)
... Traditionally Agracorp’s cash prices are at least $20/t (port delivered) behind
Victorian prices, this disparity occurs even though WA enjoys a freight and
handling advantage (advantage is approximately $6/t)
... This season saw this disparity reduced to $6-$7/tonne due to the special licences introducing extra competition into the WA market.
Benefits to WA Growers of Special Licences
... Opportunity to increase cash component of crop. The cash contracts being offered by licence holders enabled growers to price a larger percentage of their crop for cash to allow immediate cash flow
... Opportunity for flexibility in borrowing program. With better access to cash prices for barley growers can reduce their borrowing exposure, by not having to finance all of their wheat crop through harvest loans
... Opportunity for all growers to receive export parity prices, The existence of the special licences have given growers outside Kwinana port zone the opportunity to avail themselves of export parity prices.
Benefit to WA economy
... At a $10-$15 per tonne premium this would have added an additional $3.5-
$6million into grower’s pockets and the WA rural economy in 2003-04.
... The Grain Pool of WA (GPPL) was forced to raise its cash bids in order to compete with special export license holders during this time. Although it has not been released as to how many tonnes GPL accumulated during this time it should be counted as a benefit to WA."
So Chairman Ritter can say I was wrong, didn't know what I was talking about, in front of everyone... when the CWB knew full well I was exactly right... as well should have Chairman Ritter.
Charlie;
Is this not illegal political manipulation of this election?
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