E-Malt.com News article: 3695

Australia: ABB Grain Ltd announced on November 17 that Eastern Australian grain handler, Australian Bulk Alliance, will be in a better position than ever to meet client and grower service needs, following the decision by major Japanese trading house, Sumitomo, to acquire GrainCorp’s 50% stake in the business. ABA general manager, Geoff Barker, said with the backing of Sumitomo, which already had extensive interests in Australia, and of the ABB Grain group, which owns the other 50% of ABA, the company was ready to provide a better alternative in grain handling and supply chain services for the eastern states grain market.

ABA currently has grain receival sites at Goolgowi, Coolamon, The Rock, Tocumwal, Woorinen, Nullawill and Tatyoon as well as the export terminal in Melbourne. But Geoff Barker believes there is still plenty of room for the company to move. “We believe with such strong backing we will be able to grow the business at our existing sites and explore further opportunities,” he said.

“Over the past couple of years we have been able to successfully grow the business despite several adverse seasons, and most recently the uncertainty caused by the merger of Grainco and GrainCorp, and the latter’s consequent undertaking to the Australian Competition and Consumer Commission that it would divest itself of its share in the business.

“ABB Grain and Sumitomo already have a long-standing trading relationship through Joe White Maltings, which became part of the company in the recent merger with AusBulk so we are confident that with their successful historical association they will provide a solid foundation for the future growth of the business,” Mr Barker said.


21 November, 2004