15 JUNE 2010 > CANEGROWERS CEO talks with key sugar reps in Europe

CANEGROWERS CEO Ian Ballantyne is back in Brisbane after a short but constructive flying trip to Brussels last week where he met with European sugar industry and government representatives.

Mr Ballantyne expressed concerns to representatives about Europe’s recent export of 500,000 tonnes of sugar over their WTO approved quota of 1.35 million tonnes.

The decision to exceed authorised tonnage by the subsidised European producers was driven by a peak in world market prices and has become a matter of some focus for Australian industry. Australia, Brazil and Thailand have formally expressed their concern over further exports from Europe.

While in Brussels for two days, Mr Ballantyne presented a paper to delegates at the FO Licht World Sugar Conference about the outlook for the Australian sugarcane industry.

“Europe is the heartland of government regulation. The level of government intervention and subsidies within the sugar industry continues to be high despite continuing efforts to reform,” said Mr Ballantyne.

“I spoke to delegates about the steps Australia’s sugar industry has taken to restructure and the industry’s adoption of full deregulation.”

Mr Ballantyne also took the opportunity to meet with CANEGROWERS European counterpart Confederation of European Beet Growers (CIBE) to discuss a range of issues and the export review.

A meeting with the Australian Ambassador to Europe, Dr Brendan Nelson, was also held during Mr Ballantyne’s flying visit.

“It was an opportune time to ensure Dr Nelson was up to speed on the European sugar export issue, and I informed him of the conversations held between affected countries thus far,” Mr Ballantyne said. “Dr Nelson is well over the issue.”

During the trip Mr Ballantyne also met with sugar trading representatives in London to discuss the market outlook and sugar pricing.

Back in Brisbane this week, Mr Ballantyne said one of the important issues on the boil includes a likely confirmation of Bright Food Group’s formal offer for Sucrogen (sugar division of CSR).

CANEGROWERS has participated in discussions with Bright Food, CSR and the Foreign Investment Review Board in recent weeks in regards to the anticipated announcement.