Australia imports grain from overseas for the first time in 12 YEARS after drought destroyed crops and drove prices sky high
- A permit has been approved to import bulk foreign-grown grain from Canada
- This is the first time Australia has imported grain from overseas since 2007
- Drought and limited crop supply has increased the cost of grain domestically
- There are 11 other applications to import grain including canola, wheat, corn
Australia will begin importing grain from overseas for the first time since 2007 as the worst drought in 100 years shows no signs of stopping.
The Department of Agriculture and Water Resources approved a permit to import grain from Canada with several other permits still waiting approval.
The domestic price for grain has increased after the drought destroyed winter crops on Australia’s east coast.
The Department of Agriculture and Water Resources approved a permit to import wheat from Canada for the first time since 2007
The shipment is alleged to be of a high-protein grain which will mainly be used in milling but must meet biosecurity standards.
The Department of Agriculture and Water Resources announced the grain import approval via a statement.
‘An Australian importer has been issued a permit to import bulk wheat from Canada,’ the statement said.
‘The Department of Agriculture and Water Resources issued the permit for a single shipment of bulk wheat, subject to strict conditions to manage any biosecurity risk.’
Importers are looking for crops overseas as the price of domestic grain continues to climb due to limited supply
Importers are looking for crops overseas as the price of domestic grain continues to climb due to limited supply.
Robobank senior grains and oilseeds analyst Cheryl Kalisch Gordon said the winter crop has dropped considerably due to the drought.
‘We forecast a total winter crop near to 29 million tonnes, down 23 per cent year-on-year and 30p per cent on the five-year average,’ Ms Kalisch Gordon told Farm Weekly.
The department is assessing 11 applications to import grain into Australia with canola, wheat, corn and sorghum being highly sought after.
The statement outlined the strict import conditions for the grain which will ensure animals and other crops won’t be impacted
‘The import conditions require that the grain is sourced from areas assessed as presenting a low plant and animal biosecurity risk and impose strict movement, storage and processing controls within Australia,’ the department said.
‘The shipment is expected to arrive in Australia in the next six to eight weeks.’