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Australia establishes export wheat commission

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Canberra, Australia
October 18, 2007

Source: USDA/FAS GAIN report number: AS7058
http://www.fas.usda.gov/gainfiles/200710/146292725.pdf

Report highlights

On the October 1, 2007, the Wheat Export Authority changed from an agency under the Commonwealth Authorities and Corporations Act 1997 to a statutory commission operating under the Financial Management and Accountability Act 1997 – the Export Wheat Commission (EWC).

On the October 1, 2007, the Wheat Export Authority changed from an agency under the Commonwealth Authorities and Corporations Act 1997 to a statutory commission operating under the Financial Management and Accountability Act 1997 – the Export Wheat Commission (EWC).

The EWC’s role is determined by the Wheat Marketing Act 1989 (the Act) and its operations have been funded from three sources, a $A50 application fee for export consents, a Wheat Export Charge of $A0.22/tonne of exported wheat and government grants of $A3 million to supplement the downturn in income due to the drought affected wheat harvest in 2006-07. The EWC facilitates the operations of Australia’s legislated wheat export arrangements and informs Government and growers of outcomes.

The EWC:

  • controls the export of bulk wheat from Australia;
  • monitors the single desk's performance (currently AWB International) in relation to the export of wheat and examine and report on the benefits to growers that result from that performance;
  • monitors compliance with the conditions of export consents issued;
  • administers the Non-bulk Wheat Quality Assurance Scheme.

The EWC consists of a Chairperson and three to five commissioners who are appointed by the Minister for Agriculture, Fisheries and Forestry for a period of up to three years On June 21, 2007 Parliament passed the Wheat Marketing Amendment Bill 2007 which amended the Wheat Marketing Act 1989 and put into effect the changes to Australia’s wheat marketing regulations that were announced by the Prime Minister on May 22, 2007.

The Wheat Marketing Amendment Bill 2007 was given Royal Assent by the Governor General on June 28, 2007, with initial changes affecting the export of wheat in bags and containers coming into effect on August 27, 2007. These changes include:

  • The extension of the Minister for Agriculture, Fisheries and Forestry’s temporary veto power over non-AWB International Ltd (AWBI) bulk exports until June 30, 2008;
  • The inclusion of the power for the Minister to change the company that manages the single desk from March 1, 2008, this power will sunset on June 30, 2008;
  • Improved powers for the regulator the Export Wheat Commission to request the provision of information and documents relevant to its functions from persons it believes have such information or documents;
  • The inclusion of the power for the Minister to direct the EWC to investigate matters relating to its functions and pass this information on to other law enforcement and regulatory bodies as necessary;
  • A range of structural and governance reforms to the industry regulator based on the Uhrig Review recommendations (the WEA was replaced by a statutory commission known as the Export Wheat  Commission from October 1, 2007); and
  • The deregulation of wheat exports in bags and containers and the new quality assurance requirement to safeguard the reputation of Australian wheat commenced August 27, 2007.

Source: http://www.ewc.gov.au/

 

 

 

 

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