Australia’s grains supply chain in demand from global players

Foreigners at least partly own about three quarters of Australia’s grain export port terminals. SEE THE FULL LIST

Wheat gets loaded at GrainCorp’s export port terminal at Geelong.

About three quarters of Australia’s 25 grain export port terminals are owned at least in part by foreign interests.

A Weekly Times investigation into who owns Australian agriculture’s supply chain can reveal that 11 of the terminals are operated solely by offshore companies from the likes of Singapore, Canada, Japan and the US. A further seven are owned by the ASX-listed GrainCorp, whose pool of money contains foreign capital.

Major foreign players include multinational agribusinesses Viterra from Canada, Bunge Limited and Cargill from the US and Wilmar International from Singapore.

Victorian farmer and GrainGrowers Limited president Brett Hosking said foreign investment in the grains industry was generally welcome provided there was adequate competition for farmers. Major domestic exporters include the West Australian co-operative CBH Group, which operates four export terminals, at Albany, Perth, Esperance and Geraldton, and ROC Partners, which owns the Emerald Grain terminal in Melbourne.

“It’s when we start to see monopoly or duopoly behaviour that we get concerned,” Mr Hosking said.

“So far we have been able to avoid that in the grains industry but it is something we are conscious and aware of – particularly when you see mergers (between offshore companies) that are out of our control.”

An example of this concern came in 2013, when growers successfully lobbied the Federal Government to reject a proposed takeover of GrainCorp by US agribusiness giant Archer Daniels Midland amid calls that a foreign entity shouldn’t own critical infrastructure such as ports and rail links.

“So we’ve seen growers stand up and get the Government’s attention so there’s no reason that couldn’t happen again (if there was need for it),” Mr Hosking says.

FOREIGN-OWNED GRAIN EXPORT PORT TERMINALS

Brisbane, QLD – GrainCorp. ASX LISTED

Brisbane, QLD – Wilmar International. SINGAPORE

Bunbury, WA – Bunge Australia. UNITED STATES
Geelong, VIC – GrainCorp. ASX LISTED

Gladstone, QLD – GrainCorp. ASX LISTED

Mackay, QLD – GrainCorp. ASX LISTED

Newcastle, NSW – GrainCorp. ASX LISTED

Newcastle, NSW – National Agri Terminal. Riverina (Mitsubishi)/Glencore Grain/CBH. JAPAN/SWITZERLAND

Port Adelaide, SA – Viterra (Inner Harbour). CANADA

Port Adelaide, SA – Viterra (Outer Harbour). CANADA

Port Adelaide, SA – Cargill. UNITED STATES

Port Giles, SA – Viterra. CANADA

Port Kembla, NSW – GrainCorp. ASX LISTED

Port Kembla, NSW – Cargill/COFCO/Emerald, US/CHINA/JAPAN

Portland, VIC – GrainCorp. ASX LISTED

Port Lincoln, SA – Viterra. CANADA

Thevenard, SA – Viterra. CANADA

Wallaroo, SA – Viterra. CANADA

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