THE Australian grains industry has agreed on a way forward to deliver ‘industry good’ services and functions on behalf of the entire grains supply chain.
GRDC managing director Steve Jefferies said the new company, to be known as Grains Australia Ltd (GA), would consolidate a number of important industry-good functions.
“This is an exciting development that will result in significant benefits to the Australian grains industry, including more efficient industry operation, improved connectivity across the value chain and improved industry influence in domestic and global forums,” Dr Jefferies said.
The formation of GA is led by a steering committee comprised:
- Grain Growers Ltd;
- Grain Producers Australia;
- Grain Trade Australia; and
The company’s constitution has been finalised and a search is under way for directors of the skills-based GA Board.
The inaugural GA directors will then appoint a chief executive officer.
GRDC is currently the sole member of GA and will be providing 100 per cent of the initial funding.
It is anticipated that grains industry participants will be active contributors to the operations of the company through involvement on committees, councils and working groups.
Industry-good functions are those services deliver net benefit to the industry overall.
The functions can benefit public and private entities, or a combination of both, but do not create or add to market failure.
GA’s core functions will be to:
- establish and maintain a grain variety-classification system;
- provide services that maintain and improve trade and market access;
- develop long-term market and consumer analysis and product awareness to support longer-term demand and value creation; and
- ensure technical support and training is available for customers of and participants in the Australian grains industry.
Dr Jefferies says the formation of GA would result in the streamlining of many of the functions currently delivered by a number of separate organisations.
“The industry has been working towards this goal for several years.
“With the new structure in place, it will be up to the new Board and management of GA to continue discussions with all relevant organisations to determine which ‘industry good’ functions transition into the new model.”
This is a dud.
GRDC will provide initial funding. Who will provide subsequent funding?
Growers will pay for it !
And whilst the merchants continue to shaft them.