By JOHN VAN KLAVEREN
GRAINCORP was won relaxed rules governing its Geelong terminal from Australian Competition and Consumer Commission (ACCC) as it faces increased competition.
The Independent reported in December that GrainCorp had claimed it faced “strong competition” from a proposed Bunge grain terminal at Corio Quay, which would not be subject to the same regulations.
A residents group has also slammed the Bunge Australia 450,000-tonnes-a year bulk grain export terminal on land leased from Midway.
The regulations were aimed at ensuring exporters had fair and transparent access to terminal facilities.
ACCC chairman Rod Sims said sufficient competition already existed between Emerald Grain’s Melbourne Port Terminal and GrainCorp’s Geelong port terminal.
Both terminals competed for grain from similar catchment areas in Victoria and southern New South Wales, he said.
“The degree of spare export capacity at these terminals and the significant container grain exports from the Port of Melbourne place further competitive pressures on these two terminals.
“The ACCC has therefore made a draft determination that the full application of the code is no longer required at Emerald’s MPT and GrainCorp’s Geelong terminal.”
Emerald and GrainCorp both submitted that their Victorian terminals competed against each other and faced competitive constraints from the domestic market, container exports and new port developments in Victoria.
The exemptions relax a number of provisions including a non-discrimination requirement, dispute resolution processes, ACCC approval of capacity allocation systems and some reporting requirements.
