Pressure is mounting on the State Government over the regulation of Western Australia’s non-wheat grain exports, with the State’s two farmer lobby groups stepping up their opposing criticisms of regulation policy.
Pressure is mounting on the State Government over the regulation of Western Australia’s non-wheat grain exports, with the State’s two farmer lobby groups stepping up their opposing criticisms of regulation policy.
This week, as an independent review continues into the State’s grain regulator the Grain Licensing Authority (GLA), the Pastoralists and Graziers Association has again called for canola to be removed from the State’s prescribed grains list.
The PGA call follows complaints against the GLA from the State’s other main farm lobby group, the WA Farmers Federation, as well as monopoly grains exporter the Grain Pool, for the recent issuing of a private canola export licence.
WAFF and the Grain Pool claim the issuing of licences undermines the single desk marketing arrangement, which they argue keeps prices at a premium and returns value to growers.
The PGA, however, disagrees, saying that growers are losing out on vital income and marketing opportunities on barley, lupins and canola, because of the Grain Pool’s export monopoly on these grains.
PGA Western Graingrowers made its request to have canola struck from the prescribed grains list in its recent submission to the review, which is being conducted by accounting firm RSM Bird Cameron.
PGA WGG chairman Leon Bradley said the Grain Pool’s latest harvest advance prices were the lowest in years, and in some cases up to $150 less than prices offered by other exporters seeking permits through the GLA.
He said traditional Grain Pool claims of premiums had now been shown by the GLA to be unfounded.
Despite the GLA recently issuing a private canola licence, Mr Bradley said the GLA had refused to grant a number of canola export permits.
The removal of canola from the prescribed grains list would require an amendment to the WA Grain Marketing Act 2002, which would require initial support from Agriculture Minister Kim Chance and State parliament.
The State Government hopes to iron out many of these issues following the review of the GLA, which is expected to be completed by the end of December this year.
The review, which began earlier this year, was foreshadowed by the Government when it established the GLA under the Grains Marketing Act in 2002.
As part of the review, the issuing of special export licences and any effect on the operation of the main export licence holder (GLA) will be examined.
A spokesman for Mr Chance said there had been no time frame set for the Government’s response to review. However, it is thought the Government will need to act with reasonable haste with WAFF already casting doubt over the review process.
“The reasons behind the GLA issuing new licences ahead of the Bird Cameron enquiry into the impact licence holders have had on overall export earnings, must also be questioned,” WAFarmers Grains Section president Peter Wahlsten said.
