Australia’s grain handling industry is under the government microscope after months of complaints about poor service. The federal Senate will conduct the inquiry.
Issues include:
• the risk of natural, virtual or other monopolies in impeding competition in grain storage, transport, handling or shipping;
• ensuring transparency in storage and handling;
• providing equitable access to the lowest cost routes to market;
• the lack of uniform receipts, testing and classification standards and the implications for Australia as a reliable supplier;
Read Also
Agri-business and farms front and centre for Alberta’s Open Farm Days
Open Farm Days continues to enjoy success in its 14th year running, as Alberta farms and agri-businesses were showcased to increase awareness on how food gets to the dinner plate.
• long lineups at grain elevators and inconsistent quality testing.
A separate inquiry is also underway in South Australia, where producers complained last fall about the grain handling performance of grain companies, including Canadian-based Viterra.
Nick Xenophon, an independent senator from South Australia, had pushed for the Senate inquiry.
Producers and shippers had complained about chaos and unfairness during the last harvest.
“In some parts of South Australia, truck drivers were waiting up to 16 hours to unload grain,” he said. “It’s appalling and it’s dangerous.”
The inquiry will examine how the industry operates in terms of standards and competition and how things can be made fairer.
He also wants the federal government to declare grain handling and transportation an essential service that won’t be subject to disruption by labour or management.
Mary Jo Fisher, a Liberal senator from South Australia, said the committee will look at issues across all grain-growing states and encouraged growers to participate.
“The federal inquiry not only is looking at transparency in storage and handling of grain, but how monopolies can discourage competition in the system,” she was quoted as saying by an Australian media outlet.
