Wheat lobby shocked by Iraq decisionFebruary 13, 2006WHEAT...

Wheat lobby shocked by Iraq decision

February 13, 2006
WHEAT growers have described today's decision by the Iraq Grains Board (IGB) to suspend business with AWB as extremely worrying.

In a statement, AWB (awb.ASX:Quote,News) said it was disappointed with the IGB's decision, which would remain in place until the Cole Inquiry into corruption in the oil-for-food program was completed.

Chris Kellock from the Eastern Wheat Growers Group said it was a worrying development.

"We're really concerned that this is going to have a real negative impact on our returns," Mr Kellock said.

"This news – if growers didn't realise beforehand, they should realise now, the single desk monopoly is well and truly past its use by date.









Mr Kellock said AWB (awb.ASX:Quote,News) had to accept the blame for the IGB's decision.

"The problems within AWB stop at AWB (awb.ASX:Quote,News). I believe this scam was developed within the bowels of AWB and that's where the fall-out for this rejection of our wheat into the market lies," he said.

"This oil-for-food scandal has given our competitors a free kick.

"There's a lot of hard work to be done and it's probably best done by other companies now, to restore the image of the Australian wheat export system."

Mr Kellock says he hoped Iraq would eventually buy Australian wheat once again.

"Definitely – we want all available markets open to the Australian grain growers, and I believe in the future our interests are probably best in the hands of other companies that have got their reputations still intact.

"I think it's extremely important now that all growers have available to them the choice that most other businesses take for granted in this country, that is the freedom to be able to export to whom, and whenever, and at whatever price."



http://www.theaustralian.news.com.au/common/story_page/0,5744,18129878%255E31037,00.html