The Australian Competition and Consumer Commission has accepted an undertaking from Australian Bulk Alliance Pty Ltd which sets out arrangements for wheat exporters using Melbourne Port Terminal.

The access arrangements require:

  • ABA not to discriminate or hinder access to port terminal services
  • clear and transparent port loading protocols for managing demand for port terminal services
  • ABA to negotiate in good faith with eligible wheat exporters for access to port terminal services
  • wheat exporters to have access to dispute mediation or arbitration on terms of access

Current arrangements at Melbourne Port Terminal appear to be working well and ABA is a relatively small operator facing strong competition. In such circumstances, significant changes were not required. However, ABA made a few amendments to its original proposal to ensure consistency with industry-wide standards, and increased transparency for exporters on the details of port terminal operations.

“ABA is a relatively small operator facing strong competition. As current arrangements at Melbourne Port Terminal appear to be working well, the ACCC has been careful not to over-regulate,” ACCC chairman Rod Sims said.

“The ACCC considers that the arrangements will provide bulk wheat exporters with fair and transparent access to the Melbourne Port Terminal,” Mr Sims said today.

The accepted undertaking applies from October 2011 to September 2013.

The ACCC has a role in access arrangements for wheat exporters as part of the deregulation of the wheat industry. Access undertakings are intended to ensure that third party exporters are able to access the port terminals operated by vertically integrated port terminal operators, ensuring competition in the market for the export of bulk wheat.

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