The Australian Competition and Consumer Commission (ACCC) has made a final determination exempting Riordan Grain Services (Riordan) from having to comply with Parts 3 to 6 of the Port Terminal Access (Bulk Wheat) Code of Conduct in relation to its port terminal facility at Portland.
The ACCC considered the way in which Riordan’s facility competes for bulk grain export volumes and examined the catchment area that supplies grain to Portland. The ACCC also considered the level of competition in services across the supply chain.
The ACCC considers that Riordan faces substantial competitive constraint from an incumbent provider at Portland, and as a new entrant Riordan has incentives to provide exporters with fair and transparent access to its services.
Background
The Port Terminal Access (Bulk Wheat) Code of Conduct commenced on 30 September 2014.
The code regulates bulk wheat port terminal service providers to ensure that exporters have fair and transparent access to terminal facilities. Where appropriate, the ACCC may reduce regulation at a specific port terminal by exempting the relevant port terminal service provider from certain provisions of the code.
Exempt service providers are not subject to a number of the code’s provisions, including a non-discrimination requirement, dispute resolution processes, ACCC approval of capacity allocation systems, and certain reporting requirements.
The code provides that exempt service providers are however still required to deal with exporters in good faith and publish a port loading statement and loading procedures.
The ACCC’s final determination is available at: Riordan Grain Services Port of Portland wheat port exemption assessment.