CBH Group's Marketing and Trading contracts a challenge

However, as expected it was not a fix-all solution and there are still plenty of growers who have not yet been able to secure a single tonne with CBH in the past couple of months.

The new approach was introduced on November 28 and followed previous strategies implemented by CBH's Marketing and Trading (M&T) division, including 200t contract limits and the staggered release of pricing by zone.

Despite those previous attempts, CBH was still experiencing very high demand for its prices and brought in the new measure to try and help more growers secure a contract with them.

For some growers the two-day halt has been effective, but for Ballidu farmer Corey Mitcherton it has just caused more frustration as he continues to stare at the "circle of death" as his Loadnet account times out.

"Since they started throwing out ridiculous prices above everyone else, I haven't sold a single tonne and that hasn't changed since the two-day restriction was put in place," Mr Mitcherton said.

"Even if I could get something, a 40t contract is just a pain - it's too many numbers, too many contracts and too much to keep track of."

Under the new initiative, grower accounts which secure a CBH M&T contract of 40t or more will not be able to secure another contract with CBH for the following two business days.

For example, if a growers successfully contract with M&T on Monday, the next contracting opportunity will be on Thursday.

However, if a grower contracts less than 40t in total in one day, then this temporary measure will not apply, and growers will have the opportunity to contract with M&T the following business day.

CBH chief marketing and trading officer Jason Craig said the co-operative started to introduce various initiatives in October to help more growers better navigate the huge demand to access cash contracts for its market leading prices.

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"As a result of that, we saw 20 per cent more growers successfully contracting with us," Mr Craig said.

"Most growers have been understanding of the new measures, and while it is still early days, we have already seen an uptick in more new growers successfully contracting with us.

"Unfortunately there is no silver bullet to the current challenges, and CBH Marketing and Trading simply can't buy all the grain from consecutive record harvests."

In a normal year, Mr Mitcherton sells about one third of his grain through CBH and the other two thirds between a few other marketers.

In the past, including last year's record harvest, he has never had a problem selling to CBH and believes the M&T division brought the issue on themselves by trying to influence the market.

"Last year they were below the market in terms of prices and this year they're trying to push the market up and make themselves look good, but it's not working and instead it has had a negative effect as it's frustrated a lot of growers who can't get contracts," Mr Mitcherton said.

"The problem is that the other marketers aren't dumb, they know what CBH is trying to do and none of them have started to increase their prices to match.

"Instead, CBH is selling out within minutes and making itself look stupid."

On top of its other strategies, CBH also opened a Deferred Sales Pool (DSP) product to growers on Monday morning.

It will operate like a typical CBH pool product except that it will utilise 2023/24 season shipping capacity, meaning a delayed marketing program.

Mr Craig said the DSP product was part of M&T's strategy to adjust its market presence and products to provide as many growers as possible the opportunity to access its prices and drive value for WA growers.

"Access to the DSP will be via contract only and while contracts have maximum tonnage limits, growers will be able to write multiple contracts per commodity and per zone each day while the DSP is open," he said.

"While the DSP has been developed to accommodate significant volumes, growers are encouraged to act early to secure participation.

"Pending the level of interest in the DSP, we will consider any additional product options which might be suitable and communicate these as appropriate in due course."