GrainLink NSW enters administration

Grain Link NSW and its entities have gone into voluntary administration, leaving growers and other creditors searching for answers.

Five related NSW grain trading, storage and transport companies have entered voluntary administration. Picture: Zoe Phillips

Grain Link NSW and its entities have gone into voluntary administration, leaving growers and other creditors searching for answers.

The Australian Securities and Investment Corporation issued a notice on Monday stating the following related companies had been placed under administration: GrainLink (NSW) Pty Ltd, GrainLink Storage Pty Ltd, GrainLink Resources Pty Ltd, Walsh Link Pty Ltd and Western Riverina Intermodal Freight Terminal Pty Ltd.

ASIC lists the directors of all companies as Paul Edwin Pearsall of Binya, and Dean Troy Salvestro of Benerembah, near Griffith, NSW.

Former GrainGrowers chairman Brett Hosking said it had been a “very volatile time in grain markets for growers and traders alike”.

Administrators Quentin Olde and Liam Healey have been appointed to take control of the companies and assess any debts.

Mr Olde said he was in the process of completing an analysis of the businesses, which would be presented to creditors at a meeting on June 14.

Former GrainGrowers Ltd chair Brett Hosking says it has been a volatile time for grain traders. Picture: James Wagstaff

GrainLink

According to the GrainLink website, Grain Link NSW “markets and trades grain throughout eastern Australia for grain growers, domestic millers and the intensive livestock industry. The company has key established long term customers and clients.”

GrainLink NSW director Dean Salvestro is also the director and sole owner of Australian Grain Link Pty Ltd — a separate company that is still operating.

A spokeswoman for Australian Grain Link declined to say on Wednesday how many growers had warehoused grain at GrainLink NSW sites.

Anyone affected should “advise the administrator of any stockholding”, she said.

AGL was unable to comment on any outstanding debts held by the companies in administration, but could confirm staff were paid up to date, the spokeswoman said.

AGL chief executive Geoff Barker issued a letter to growers on Tuesday stating that grain trading and business management activities were shifted from the collapsed GrainLink entities to AGL in late 2022.

In response to questions, the spokeswoman said the changes AGL made last year were to “shift some operational activities only, related to grain trading and business management activities. No assets were transferred or moved.”

The GrainLink NSW online grower portal was still live on Wednesday morning. It listed storage sites at Benerembah, Carrathool, Coleambally, and Wumbulgal.

Grain Link NSW is a member of Grain Trade Australia, which demands all members adhere to Australian Grain Industry – Code of Practice, which was established to create greater transparency and certainty.

Western Riverina Intermodal Freight Terminal

The Western Riverina Intermodal Freight Terminal at Wumbulgal opened to great fanfare in 2015 to take pressure off Griffith’s congested CBD terminal.

Western Riverina Intermodal Freight Terminal Pty Ltd, which lists Mr Pearsall and Mr Salvestro as directors, was one of the five related entities that entered voluntary administration this week.

In February this year, the former NSW government announced $19 million in funding to construct two new rail sidings at the freight terminal.

That money was allocated to contractor UGL Regional Linx and the Weekly Times understands the upgrade is expected to start later this year.

The terminal has been used by Australian Grain Link, and bulk transporter LINX Cargo Care to transport products including cotton, rice, wine, oaten hay and grain.

The Weekly Times would like to talk to any affected growers. If you know more, please email [e-mail] or [e-mail]

Creditors wishing to attend the June 14 meeting need to contact the administrators by noon on June 13 on [phone] or by email to [e-mail]