New Grain Option at Port Pirie
September 17, 2019
SOUTH Australian croppers in the Mid and Upper North region can look forward to increased grain market competition, with Archer Daniels Midland Company set to open a new grain storage and handling facility near Port Pirie on the eve of the 2019 harvest.
The local investment is also expected to recommence SA grain exports from the shipping berth at Port Pirie, however the facility will also have the flexibility to service domestic customers.
ADM Asia Pacific Trading Managing Director Tim Henry said the company was proud to be announcing its latest storage and handling investment in the home State of its Australian origination business.
“Coupled with other projects nearing completion in the State and the expansion of on-farm storage, the grain supply chain landscape is changing rapidly in South Australia,’’ Tim said.
ADM first established its Australian origination and trading office in Port Adelaide back in 1987 under the Toepfer International banner. Since then, it has been a consistent marketer and exporter of Australian grain, oilseeds and pulses to its global customer base and company-owned processing facilities.
Located at 77 Abattoirs Road, Port Pirie South, the ADM facility will feature bunker style layout designed according to simple segregation options and for efficient harvest turnaround.
The facility’s cereal intake capacity will be serviced by two SA-designed and built Kilic Drive Over Hopper (DOH) Stackers and incorporating a 36-metre weighbridge suitable for B-doubles and road trains, as well as a fully equipped sample stand.
The facility will be managed by Kevin Brice, who has 19 years of storage and handling experience in the Mid and Upper North region, while grain quality at the site will be operated by Intertek Agri, a global leader in assurance, testing, inspection and certification in the agricultural supply chain.
ADM National Accumulation Group Manager Damian Bradford said the new Port Pirie grain storage facility would continue to drive competition, efficiency and improved customer service in the SA grain supply chain.
“The new site will provide local growers with an alternate delivery point to their usual options,’’ Damian said.
“It will open to receive wheat and feed barley, with final segregations communicated to local grain producers closer to harvest.
“Mid and Upper North growers will have the option of forward or ex-warehouse contracts, as well as cash at silo for harvest deliveries.
“We are in the process of engaging with local producers and will be conducting pre-harvest meetings and site walk-throughs to ensure all growers and carriers are fully briefed on the site’s operational procedures and capabilities.’’
He said for producers keen to minimise harvest supply chain costs, ADM would be running an on-farm silo bag program for delivery post-harvest. The company coordinated a similar program on the Eyre Peninsula last harvest, benefiting local growers by capturing competitive ex-farm prices compared with local site values, harvest logistics efficiencies and payment security backed by ADM. The option to take advantage of a silo bag supplied by ADM as part of the contract was a further bonus.
“These new options, coupled with ADM’s standard bulk handler-based contracts, delivered end-user options, State-wide ex-farm prices and shorter payment terms (seven days end of week (DEOW) for site/port and 14 DEOW for ex-farm and delivered end-user contracts), ensures SA producers remain central to our origination strategy,’’ Damian said.
He said the recommencement of exports from Port Pirie may also include coastal shipments to Brisbane or Newcastle due to the grain production issues on the east coast of Australia.
Meanwhile, ADM wished to acknowledge the Port Pirie Regional Council for its support of company’s grain storage facility project.
Growers seeking further information about the facility can contact ADM’s SA accumulation team on 1300 123 236 or visit the company’s site at the Yorke Peninsula Field Days at Paskeville next week.
Media information: Damian Bradford, National Accumulation Group Manager, ADM, on (08) 8210 9009.