Subscribe to RSS feedSA growers oppose Viterra's ABB takeover
The South Australian Farmers Federation Grains Industry Committee (SAFF Grains) has demanded that the operator of the state's grain terminal not be an agribusiness involved in the grain trade.
ABB's Adelaide terminal: objections to ownership plan
SAFF Grains chairman Michael Schaefer today made clear the extent grower's opposition to the attempt by the Canadian company, Viterra, to take over ABB Grain - which he described as an effective monopoly trader and terminal operator in SA.
He said growers were very disappointed in the response from state politicians, both government and opposition, on the issue.
“This takeover is not in the best interests of the South Australian grains industry nor the state’s grain growers,” Mr Schaefer said.
“Ultimately the shareholders in ABB Grain will make the decision subject to review by (the Australian Competition and Consumer Commission) and the Foreign Investment Review Board.
“We would urge all shareholders not to allow the removal of the current 15% cap on voting shares, until there are some fundamental changes in place," Mr Schaefer said.
The changes SAFF Grains believes are required include:
• the sale of at least the port at Port Adelaide Outer Harbour;
• information flows and information of stocks, sales, shipping and warehousing to be available to all;
• the need for an independent operator of the shipping stem;
• effective monitoring of port pricing.
“These changes are required for real competition which can lead to efficiencies in the supply chain so that the whole industry operates in a streamlined and cost effective way with the benefits shared among all participants, particularly growers," Mr Schaefer said.
“We also feel that the bid is not high enough."
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