AWB sold the crop Already? Is the CWB going to supply the AWB?

[TOM4CWB]

Incognito;

I see this:
http://www.smh.com.au/news/national/drongo-attack-on-nats-over-awb/2006/10/18/1160850998266.html

Drongo attack on Nats over AWB
October 19, 2006

"Splits in the federal Coalition over AWB's wheat export monopoly festered yesterday with the Liberal MP Wilson Tuckey labelling Nationals colleagues "drongoes".

Mr Tuckey is leading a Liberal push to have AWB stripped of its status as Australia's monopoly wheat exporter amid concerns over its role in the oil-for-food scandal.

Farmers are also angry that AWB has sold this year's harvest for $240 a tonne when the drought has now pushed prices over $300 a tonne.

Mr Tuckey said the Nationals were sticking by AWB because "all their mates run it". He said the Nationals could not argue for media diversity in the bush yet support a wheat monopoly. In Parliament, Labor joined in, pointing out that the former AWB chief executive Murray Rogers chaired the Government's Quarantine and Exports Advisory Council.

Phillip Coorey"

Incognito;

So,

Since we know the CWB works closely with the AWB,

And the collapse of the AWB "single desk" almost assures the end of the CWB "single desk" and according to CWB management... the CWB itself;

WILL the CWB step up and cover AWB sales at the expense of CDN grain growers in the "designated area"?
Will the Ausies buy the crop back... or swallow the losses?

Are the CWB sales dept. involved in this... to save the AWB "single desk"?

[TOM4CWB]

Inconito;

This spring it was revealed to us just how close the relationship between the AWB and CWB is;

In the INDO-ASIA region the western Ausie wheat growers built and operate a flour mill.

This past year the AWB forced this grower owned mill... to take low quality East Coast Ausie wheat... and blend it with CWB wheat... to operate the flour mill.

The western Ausie growers wanted to use their own wheat... in their own flour mill... at a lower cost than the AWB/CWB supply of wheat.

The AWB refused to allow them to mill their own wheat... and pushed this higher quality wheat into another market that returned less to western Ausie growers.

I Believe I got this right... Mallee?

ANyway it is clear that the CWB and AWB are in close communication... and their futures are linked.

The CWB Sept. PRO dropping for 1 & 2 CWRS should have made us all really wonder as does the $7.50/t "adjustment factor" the CWB just took off my PPO.

It is very understanding... that I should wonder if it is going to the AWB... through assumption of AWB sales contracts at below fair market value.

No one would ever be able to find out... or know the difference... except that our bottom line this year is $7.50/t lower on pooled... and non-pooled PPO revenues!

$7.50/t times 12mmt... is $10 million of cushion for the AWB "single desk".

http://www.smh.com.au/news/BUSINESS/Wheat-growers-angry-at-AWB-over-sales/2006/10/17/1160850921855.html

"Embattled monopoly wheat exporter AWB is in the firing line for forward selling a huge stake of the nation's crop for at least $60 a tonne less than the current price.

Angry farmers are complaining that AWB has arranged to sell the wheat for an offering price of about $240 a tonne.

Drought had sent world and domestic prices, particularly in the eastern states, soaring over the $300-a-tonne mark, government backbenchers said at Tuesday's joint parties meeting.

That means farmers in Western Australia, whose produce was entirely exported, could be earning more if they were allowed to sell their crop at home.

"The AWB have apparently forward sold their pool of wheat at lower than what the world price is, and that is causing some consternation amongst farmers," a joint parties spokesman said.

The blunder led several government MPs to call for the abolition of the single-desk (monopoly) for selling wheat, or for the Wheat Export Authority (WEA) to take over management of the wheat pool.

It is not clear how quickly any action could be taken, with the wheat harvest about to start.

AWB is expected to be savaged when commissioner Terence Cole hands down his report into the Iraqi wheat kickbacks scandal later this year.

Commissioner Cole is expected to recommend criminal charges following his investigation into almost $300 million of kickbacks paid to Saddam Hussein's regime by the wheat exporter.

AWB was not immediately available for comment.

© 2006 AAP"

[malleefarmer]

the only thing i disagree with in regards to is the indonesian flour mill no australian wheat awb used its power of veto.
Also AWB has reduced its "management" fee of $65 million to entice WA growers to deliver into the pool as the 65 mill is spread over pool across aust but this year all wheat in SA Vic and NSW will be sold for cash thus avoiding the fee and WA growers who have little domestic market due to geographical circumstances the n have the 65 mill spread amongst there tonnages rather than aust wide eg up to $15 per tonne

AWB shares have dropped from $6.20 in Jan to be valued at $2.60 now

[malleefarmer]

RE flour mill again the prices offered for the flour mill at the time was $around $18 per tonne more i believe it was 170,000 metric tonnes and the company grainpool of WA announced the offer for the wheat the company was swamped contracts for the tonnage were filled in the first day and then about a week later the wheat export authority,who is a subsiduary of AWB announced the planned tonnages were not allowed to be exported so it all fell through farmers out of pocket but im not sure were the wheat came.

[Zaphod]

What's a drongo?

[TOM4CWB]

Zaphod;

I googled it:

"Drongo - The loser horse that stayed a loser horse


Drongo was a racehorse during the early 1920s. He looked promising and often came close to winning major races, but in 37 starts he never won anything.

Soon after his retirement, 'Drongo' became an affectionate term for 'hopeless cases' , 'no-hopers', and thereafter 'fools'. In the 1940s it was applied to recruits in the Royal Australian Air Force.

The affection Australians reserved for Drongo is similar to the affection they held for the hopeless swimmer 'Eric the Eel' in the Sydney Olympics. The two are admired not for their ability rather for simply having a go."