NOVEMBER 30, 2009.
Southern Agventure's first foray into capturing more profit for local growers, through its grain marketing company Southern Ag Grain (SAG) has made a great start with 10,000 tonnes already committed and much interest from growers who have stored on-farm with plans of marketing their grain through the year.
SAG chairman Mike Chaseling said the business "hit the ground running" with growers looking to support a grain marketer giving them wider market access.
"Growers in the district are looking for greater marketing control and a real partner in grain marketing. Southern Ag Grain is uniquely placed as that partner.
Growers are our customers and we are all about helping them maximise opportunities from the recently liberalised grain markets," he said.
With an office recently established in Wagga, SAG is a joint venture between Southern Agventure and Emerald Group Australia Pty Ltd and 50 per cent of the profits generated by the enterprise will be distributed back to Southern Agventure to help develop other value adding projects for Riverina agriculture and to distribute to shareholders.
Southern Agventure director and Holbrook grain and oilseed grower Nick Taylor, a former commodities trader, welcomes SAG saying it brings another large player to the area complete with a $350 million line of inventory and trade finance, giving local growers assurance of payment.
"Emerald has the resources and the financial backing to make these things happen ... it would take a lot longer if we were trying to do it on our own. It's all about bringing power to the grower," Nick said.
"Grain buying is a complex game and a lot of the smaller buyers, who were good for local competition, have gone.
The other advantage with SAG is it is a company where half is locally owned and the remainder is Australian owned - more of the big grain buyers are international focusing on international customers, profits are not kept in Australia," Nick said.
"And our strength will be we are returning benefits to our community."
Mr Taylor encourages people to take up the investment opportunity in Southern Agventure and be a part of a exciting future.
For more information contact Brent Alexander on T 0427 206215 E enquiries@southernagventure.com.au or visit www.southernagventure.com.au