8 May 2009

Grain pricing complaint being prepared

12:58 pm on 8 May 2009

Federated Farmers is preparing a case to take to the Commerce Commission about grain pricing.

A Federated Farmers grain grower has accused merchants of providing incorrect information to domestic growers to keep domestic grain prices low

David Clark says figures issued by Statistics New Zealand show wheat imported from Australia for the first three months of this year had an average price per tonne of $638.

Sorghum, a barley or maize replacement, was sold at $497 per tonne, while growers in New Zealand have had to sell their product for much lower.

However, ABB Grains marketing manager Michael Reeves says it's difficult to tell what price the grain was originally paid for, and whether prices in New Zealand can be compared.

Mr Clark is still unconvinced and the federation is advising farmers to look at pricing information to ensure they get a fair price for their product.