11/29/07 Australian election has Wheat Board ramifications

Farm and Ranch November 29, 2007 Australia's 'single-desk' wheat export monopoly took a big hit with last week's election of a new Labor party government down under. Steve Mercer, spokesman for U.S. Wheat Associates, says there would still be a single wheat pool but no longer a requirement to export through the Australian Wheat Board's single desk. Mercer: "Based on what we've seen from Labor's plan for what is going to happen this looks like it is going to lead to genuine competition. And I think few of the Australian farmers are going to miss that monopoly once they experience that marketing freedom." And Mercer says the result should be more sales for U.S. producers and better prices for Australian growers after years of U.S. efforts to end monopoly trading. But that still leaves the Canadian Wheat Board. Mercer: "Australian and Canada which have the export state trading enterprises. You look at Canada, obviously it is in the political arena right now, but there are a number of producers out there, and I think the referendum that took place among barley growers where 60% suggested they would like to see the single desk go away for marketing of malting barley, indicates there is a groundswell of interest among producers in having more freedom to market their crop." I'm Bob Hoff and that's the Northwest Farm and Ranch Report on the Northwest Ag Information Network.