The ACCC has released a draft determination proposing to grant ADM Trading Australia (ADM) exempt service provider status in relation to its Port Pirie port terminal facility under the Port Terminal Access (Bulk Wheat) Code of Conduct.
An exemption would mean that ADM will not be required to comply with Parts 3 to 6 of the code when providing port terminal services at its facility at Port Pirie.
The ACCC considers that as a new entrant ADM faces a high level of competitive constraint from competing port terminal facilities at Port Adelaide and Wallaroo. The ACCC therefore considers that ADM has incentives to provide fair and transparent access to port terminal services at its Port Pirie facility.
The ACCC invites interested parties to respond to these preliminary views, and will consider them prior to reaching a final view. The closing date for submissions is 11 August 2021.
The ACCC’s draft determination is available at: ADM Trading Australia wheat port exemption assessment.
Background
The Wheat Port Code of Conduct commenced on 30 September 2014. The code regulates bulk grain port terminal operators to ensure that exporters have fair and transparent access to port terminal services.
Exempt service providers are not required to comply with most of the code’s obligations, including obligations not to discriminate or hinder other exporters when providing access to port terminal services, or to submit port capacity allocation systems for ACCC approval. They are still required to deal with exporters in good faith and publish certain information, including a port loading statement and port loading procedures.