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AWB overcharged us, say grain buyers
10 Jun 2004
The dairy industry has accused AWB of making unfair profits by overcharging for grain during the drought. Dairy Australia alleges that excessive charges for feed grain contributed to dairy farmers' financial hardship and reduced affordable grain availability.
The dairy sector, along with the pork, feedlot and poultry industries, is opposed to AWB's single desk. The industries are presenting their case to the panel that's reviewing AWB's single-desk arrangements.
Dairy Australia said that during the drought, AWB charged domestic users prices well above export parity and, for a while, above import parity. However a spokesman for AWB strongly denied the allegations, saying the domestic market is fully deregulated and AWB doesn't set the price. The AWB pool has a responsibility to get the best price for grain growers, he stated.
The Age, 10/6/04.
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