Dear AACL Grower,

Welcome to Issue 21 of AACL's Grain Co-Production Updates.

GRAIN MARKETING UPDATE

During the past week, the market has been buying into rumours about corn and soybean production with the wheat market adding rumours of its own.  

Speculation includes Russia imposing export bans to control food inflation, Argentina taking a similar course of action to keep corn at home as their summer turns hot and dry, and Former Soviet Union cropping areas suffering from cold, dry conditions and a lack of snow cover.  We will have to stay tuned to see how these events unfold and their affect on the AUD/t wheat price.

2011 SEASON POOL ESTIMATES

AACL has reviewed the Pool Estimates resulting in some changes to prices since the last Update earlier this month. 

AACL grade spreads will be reviewed prior to the next distribution in April.

Estimates for all Port Zones can be found here or under Farmer Downloads on the AACL website,  www.aacl.com.au/farmer-centre/

Please note: Pool Estimates are $AU/t FOB for APW, Feed Barley and base Canola only and provides growers with AACL's and Glencore Grain's view of the Pool Estimates at that time.

HARVEST DISTRIBUTIONS

Harvest Performance Payments continue to be calculated and paid on time where eligible.

Once Performance Payments have been made, Equity Statements (with projected future payments) and Load Schedules will be sent with Recipient Created Tax Invoices (RCTI’s) .

If you have not received any Statements and require them for cashflow planning purposes, please contact AACL Grower Services or your Area Manager.

There is no change to the Harvest Distribution value since the previous Update. 

As advised, all performance payments will be calculated such that the net delivered value is based on 70% of the gross value of delivered grain less 100% of the estimated costs.

Where the net delivered value calculated is less than the Seeding Payment, there will be no Performance Payment at the first Distribution following the receipt of a Harvest Declaration.

Where the calculated net delivered value exceeds either the Seeding Payment or the Target Value there will be Performance Payments at the first Distribution (subject to deductions for seed retained, or other recoveries etc).

The same method will be used for future distributions at the end of April and at finalisation of the Pool.

If you have any questions regarding this calculation please contact Grower Services or your Area Manager.

Full grade spreads are available via this link or under Farmer Downloads on the AACL website, www.aacl.com.au/farmer-centre/

CONTACT US

If you have any questions please contact AACL Grower Services on 13 000 GRAIN (47246).

Peter McEwen
CHIEF EXECUTIVE OFFICER
AACL Pty Ltd