Recent comments by: Kanzi
The point is that in the South, meatworks could reorganise their workforce, manning the skilled parts with their present workers, which is only a small % of the total. What they need is people who turn up for work, drug free, every day, to do a boring and repetitive job, in enough numbers to fire up that extra chain. Give them that flexibility and see what happens! Trucking sheep from WA to the East for slaughter, hardly makes much sense.
Agribuzz with David Leyonhjelm
The reality is Bushie, that ag has carried the rest of you for far too long and now that mining is in trouble, you sit like stunned mullets, with an uncompetitive economy, other than building houses for more migrants. You have loaded up ag with unrealistic costs and now wonder why it is in trouble. Nobody else in the world is paid the bells and whistles as in Aus, from long service leave, holiday leave loading, double time and a half, reduancy pay and all the rest. No wonder why they rush offshore. Liiving in denial is not going to solve it for you.
You are confused on this one, David. There is no shortage of global consumers wanting to buy our beef, lamb etc, which if we benchmark our production price, is highly competitive. Tariffs and quotas, which are political problems, limit our sales. So what we really need is politicians intelligent enough to negotiate that they be removed. So far, politicians have failed dismally at this task, for the last 40 years or so.
Jack, your post highlights the philosophical shallowness of veganism. Just because you choose to do no harm, does not mean that this is the outcome in the real world. Fact is that the livestock on my side of the fence, are far better off than they would be in nature. Mine lead a leisurely lifestyle, are protected from attack by worms, predators, diseases, are fed through droughts and don't starve to death from hunger. Unlike those in nature, which you might not harm, but hardly lead the cushy life my livestock do. My livestock don't suffer your problem of fear of death either.
X, you miss the point. CBH is a service provider with a focus on providing efficient and low cost grain handling in WA. As long as it is not too distracted from that objective and sticks to its knitting, there is no reason why it can't be highly competitive, to the benefit of shareholders.
Its the same old story, once the lid on the cookie jar is a bit loose, some greedy individuals will scramble for anything inside. 5 years ago, before a single tonne of the present to be counted tonnes was delivered, CBH had substantial value, built by a legacy of farmers who accepted that the coop way was the future. To be fair, return the value of CBH to those who created that value, not just those with their hands in the cookie jar. It won't happen of course, due to human greed and short term stupid thinking. There are thriving coops around the world which thrive and boom.
Sounds like consumers will learn the hard way. If they rush to Aldi, Woolies will close stores and slowly control of their shopping will be in the hands of one of the richest German families on earth. Their super fund, which likely has shares in Woolies, will pay the price and Aldi globally is known for being a ruthless player, which makes our two look like kid's stuff. So learn the hard way, Australia will lose, as we commonly do. I'll stick to locally owned companies, thank you.
There are two sides to a coin and in this case, more leased land means more opportunities for young and keen farmers who have not inherited 5 million$ worth of land. Good news for them, if they can lease land, buy some gear and have a go.
There is no duopoly. The sharemarket understands this, others are just a bit slow. Woolies are already being devalued by the reality of Aldi and their near 400 stores and growing, out-discounting all the rest. That extra competition will be a far bigger threat to the small store then any competition which existed before.
Oh dear. The law of unintended consequences is never far away. If you think that Coles and Woolies are a problem, wait until Aldi gets going, as globally it is of course a gorilla and your independents will be the first to squeal at their ruthless discounting. Meantime it is also German owned, so profits won't go to your super fund, as with ColesWorth. Aussies just love to shoot themselves in the proverbial foot and then complain when it hurts!
People clearly haven't done their research. Aldi were the first to discount milk to a dollar and Coles got the blame. The push to ever lower prices as Aldi do, will simply put ever more pressure on the supply chain, which includes farmers. So learn the hard way people and give your money to rich German families, rather than Australian owned businesses. Then complain bitterly when it hurts. The irony is quite amusing. We are not the smartest bunch, as the Europeans will find, as they exploit us.
So if you are going to sell CBH, give the money on a per tonne basis to all who have delivered there and built it to what it is, otherwise you simply want to cash in on what others have built for you.
Perhaps the Govt should start by closing all the loopholes which means that multinationals like Ikea, Apple, Google and a host of other corporations pay chickenfeed in Australia
Perhaps the world will have to convince the Catholic Church that family planning is not evil and start to ensure that all women in the third world too, have access to it. Forcing women to have 6-8 babies and then wondering why they go hungry, is hardly clever. Why are politicians so afraid of the Catholic Church? A few votes lost maybe?
No Deregul8, it became a billion $ company as assets created by 25'000 growers have grown in value over time, so some of those with their hands in the cookie jar, want to cash in what other growers created.
Muck, if you think this is another Wesfarmers, then I have a bridge to sell you across Sydney harbour, if you can be so easily convinced. CBH customers are farmers, not the hardware buying public, which is where Wesfarmers makes its money. Pay large dividends, it comes from growers pockets. Best they focus on keeping handling charges as low as possible, so any competition have to at least match them. The more that CBH charge, the higher will be any competitor charges, all coming out of grower pockets.CBH set the benchmark, just like Wammco do, in a state of limited competition.
Dergul8, if you followed any number of ASX companies as I do, you would know that the first thing that happens when the professionals move in, is they pay themselves huge salaries, often destroying shareholder value in the process. Fact is coops can work very well, as in our case both CBH and Wammco have shown, run by farmers who hire professionals as they need them, to benefit growers and not just themselves. If you don't like the present CBH directors so vote them out. Or return the proceeds of CBH to those farmers who contributed to it over the years. That is democratic!
JoeMillbrough, I rely on the board to study the offer in detail and give us a summary of the fineprint. as they have requested. AGC are free to provide that information and don't need 16 million or another 12 million on top of that to do so.
If Consolidated is so convinced that the board is getting it all wrong, he is free to stand for a seat on the board and let other farmers vote as to his opinion and ideas. All very democratic and fair. I don't see Graincorp making decisions which are so favourable to farmers, so there is no good reason for them to have a say in CBH.
16$ million breakout fee, 12$ million for AGC directors, we can already see where the money will really be going! There is no need to charge extra for handling, only to return it to growers after a heap of admin costs. Simply charge them less in the first place, as happens now. All that this proposal comes down to is some growers wanting to cash in on what generations of growers have created. Return the money to those who created it, if you are really serious and not just greedy. Otherwise a coop structure is just fine, as agreed all along.
Deregul8, there is no good reason why CBH can't continue to grow and do what it was designed to do, with benefits going to growers with every tonne delivered. Multinationals will only pay a fortune, if they can see a way to screw the farmer blind later. If the situation is so dire, that people can't make farming pay without their CBH equity created by others, perhaps its best they look at the Mandurah option whilst they can still enjoy it.
Hang on, the co-op structure is hardly 'outmoded'. Switzerland's two largest supermarket chains for instance, are both coops. Locally Wammco has finally brought some honesty into our meat industry. The list goes on, around the world.
If multinationals are prepared to lose so much money, as to send CBH broke, what on earth are you doing, doing business with them?
Methinks that this is all about a few people wanting to cash in on CBH assets which have been built by all farmers in the last 80 years. If you sell it, give the money back to all those who helped build it.
So does Bunge offer crop optimisation? Can I sell to other buyers if I store with Bunge? Will my freight costs be lower than with CBH? Will I get a refund if they make a profit?
Sounds to me like the same few want CBH sold, so that a few can cash in on what was built by a whole lot of people in the past. If you want to sell it, pay them according to their tonnes delivered! That would deflate the balloon of those wanting to sell in a hurry.
Deregul8, selling CBH would be nothing more than a few wanting to cash in what was grown and financed by many over time. In other words, you want more than your share. Meantime you are free to save money by using quality optimisation and other great features, provided to you by other farmers who have outvoted you. No wonder your feared competition is not flooding in with millions. They can't do it any better or cheaper than CBH, or they would be doing it.
You miss the point entirely, aa. We spray weeds in crops too, even though they are not wiped out, but controlled and adapt over time. It is a question of cost versus benefits and in that regard, biological control has shown to have huge benefits. Imagine the losses, if mixi had never been released. Just go talk to some people who tried to grow crops at the time.
No lobster or rabbit? Stocking as few lines as possible is the Aldi way, so that would suit them anyhow. Aldi have encouraged factory farming for 60 years, by relentless discounting. Perhaps they can finally start to stock Australian free range lamb, rather than factory farmed German meat. I doubt it. Coles and Woolies are at least Australian owned by anyone with a super fund investment, so profits stay in Australia, in Australian hands, for Australians to retire on in the future.
The problem Bushie, is that ag can benchmark its productivity globally and be shown to to be globally competitive. You city slickers can't do the same, so you are the problem.
Bushie continues with his double standards. Fact is the most rural commodities can be seen to be highly competitive when benchmarked at the farm gate, despite the huge imposts imposed by his "high wage Australia". It just means slender profits to reinvest, or smart farmers realising that it is pointless to keep investing, if any potential profits are ripped off farmers by inflated post farm costs. Buying bank shares is more profitable and offers better returns than more farm investments, where everyone but farmers benefits.
Sorry Nicky, but we can't help it, if you are so poorly informed. Animals Australia campaigned against the lamb industry, at the time the industry was promoting lamb sales. So much for just being against factory farming. The reality is that at its core, AA are against exploitation of animals and eating them is clearly seen as exploitation. Fair enough, campaign for animal rights, but don't pretend to be something which you are not.
I remind Lisa that Animals Australia even campaigned against the lamb industry, when they were promoting more lamb sales. Why should we work with a radical organisation which even campaigns against free range farming? Animal welfare and animal liberation are not the same thing.
Consolidated, you remain confused. I know of nobody who willingly sold their 2$ share. Unlike your BHP example. I have no problem with being fair to other farmers, which was the point of the article.
Bill, if fairness is your focus, you'd have to include the 15'000 or more farmers who built CBH into what it is today, over the last 40 years or so, not just those remaining. Those wanting to sell now, are hoping to cash in on what others have helped them build. Personally I'd rather just see CBH do what it does now, with the proviso that if it is ever sold, the proceeds are split amongst those who built it, not just those who remain at the time of sale.
You remain confused Katrina and perhaps you should become a bit objective, not like a dog with a bone. Fact is that since ESCAS, the stun gun slaughter of cattle in Indonesia has risen from around 10% to around 90%. Fact is in past years sheep were sold in the markets for Eid by their hundreds of thousands, not this year. Fact is that when we have a drought year, the live industry can move large volumes of sheep in a hurry, avoiding much suffering. Fact is sheep gain weight on the ships and are little but floating feedlots.
Bushie, if a Govt closes markets so that stock cannot be sold in a drought, that is hardly good policy. Good policy would be to allow teams of 457 workers to add shifts, to process more cattle faster, before they go downhill in the drought. Labor is guilty of no 1, the Libs should create a drought policy and introduce no 2.
Now Honda just need to speed up production of their Pioneer 2 and 4 SBS, as in the US they are competitively priced and a great design, so should do well in Aus. Just a shame about the delay.
UTVs certainly are great, but it has yet to be explained to me, why the same models cost so much more in Australia,compared to the USA. Perhaps they are being priced for the mining industry here, rather then farmers. Luckily some of the Chinese brands are becoming better and better, with far more reasonable pricing.
Quite correct Bushie, farming is a business. So when that business is ripped off by the rest of you for your benefit, its time to stop investing more in farming, until returns are adequate, just like other industries. Give me more bank shares, stuff growing more food for your benefit, at little or no profit. Other industries move offshore. Easier for me to buy cheap in China and sell you their rubbish.