Grainfarmers has boosted its central store marketing tonnage to more than 450,000t a year by picking up new business as the marketing agent for Camgrain.
Camgrain has switched 120,000t of members’ wheat, oilseed rape and pulse crops away from Fengrain, after Fengrain members voted against a merger with Centaur Grain this summer. Gowlett Grain will continue to market the co-op’s malting barley and oats.
Camgrain chairman John Latham said he expected the move to bring economies of scale. “The move will open up significant value-added markets to our 300 members from customers who are increasingly looking for one-company sources to meet nationwide supply needs.
“Financial security, store capital asset retention, and the possibility of more integrated haulage solutions, as well as a seamless change, were all important considerations in our final decision.”
Grainfarmers chairman, Andrew Christie-Miller said: “There appear to be plenty of synergies to work on in the coming years and we will be looking to support the store through investment in addition to providing marketing services.”