October 30, 2006

Feed grain imports to ease shortage in Australia

Australia's first batch of feed grain imports for livestock could arrive in January to ease looming shortages, expected the Federal Government.

From more than 40 import applications from companies wanting to fill shortfalls in grains due to drought, Biosecurity Australia officers have been making the first assessments of wheat, maize and sorghum.

However, imports might not make a major difference in prices, felt agriculture minister Peter McGauran. It was a question of balance that they had a million cattle in feedlots at present and the dairy, pig meat and chicken industries were dependent on grain, he said.

Therefore, for those who were able to produce grain, they may not want to suppress their price.

The drought also forced South Australian grain marketing company ABB to accept poorer quality grain. The company reduced its screenings for malt barley and would accept smaller and less plump grain. The move, according to ABB's Lyndon Asser would benefit growers as the company tried to secure more supply.