WORLD TRADE  
ORGANIZATION  G/STR/N/13/AUS 
13 September 2010 
 (10-4635) 
Working Party on State Trading Enterprises Original:   English 
  
 
STATE TRADING 
 
New and Full Notification Pursuant to Article XVII:4(a) of the 
 
GATT 1994 and Paragraph 1 of  the Understanding on  
the Interpretation of Article XVII  
 
AUSTRALIA 
   The following communication, dated 3 September 2010, is being circulated at the request of 
the Delegation of Australia.   
 
_______________ 
 
  Pursuant to Article XVII:4(a) of the GATT 1994 and paragraph 1 of the Understanding on the 
Interpretation of Article XVII of the General Agr eement on Tariffs and Trade, Australia makes the 
following new and full notification of its state trading enterprises for the calendar years 2008 and 2009. 
 G/STR/N/13/AUS 
Page 2  
 
   
I. ENUMERATION OF STATE TRADING ENTERPRISES 
A. IDENTIFICATION
 OF STATE  TRADING  ENTERPRISE 
 AWB (International) Limited.   
 
B. DESCRIPTION  OF PRODUCTS  AFFECTED  (INCLUDING  TARIFF  ITEM  NUMBER(S)  
ENCOMPASSED  IN PRODUCT  DESCRIPTION) 
 Wheat [HS 1001] exported in bulk shipments.   
 
II. REASON AND PURPOSE 
A. REASON  OR PURPOSE  FOR  ESTABLISHING  AND/OR  MAINTAINING  STATE  
TRADING  ENTERPRISE 
 The information contained in this notification regarding AWB (Internati onal) Limited relates 
to the period 1 January 2008 to 1 October 2008.  
 
 AWB (International) Limited is a wholly-own ed subsidiary of the publicly listed company 
AWB Limited and during 1 January 2008 until 1 Oct ober 2008 operated the commercial functions of 
the wheat export 'single desk' arrangements.   During 1 January 2008 to 1 October 2008 AWB (International) Lim ited undertook the export 
marketing of bulk wheat.  Under the company' s constitution AWB (International) Limited was 
required to maximise net returns to Australian wheat growers who chose to deliver their wheat to the 
National Pool by securing, developing and mainta ining international markets for wheat and by 
minimising costs as far as practicable.   On 1 July 2008 new wheat export marketing arrangements commenced.  The single desk 
arrangements used by AWB (International) Lim ited were replaced with an export accreditation 
scheme, managed by a new regulator, Wheat Exports Australia (WEA).  These reforms ended AWB (International) Limited's export monopoly powers  for bulk wheat exports.  Under these new wheat 
export marketing arrangements, other companies ha ve been eligible to apply for accreditation, 
provided the proposed exporting company is register ed in Australia and hence subject to Australian 
law (refer to Section VI). 
 
 While accreditation applications for prospective exporting companies were being assessed and to ensure there were no delays in fi nalising the tail end of the 2007-2008 crop, AWB 
(International) Limited continued to hold the si ngle desk rights to market bulk wheat for export 
without accreditation under transitional arrangement s that commenced on 1 July 2008 and ended on 
1 October 2008.  
 
 Since AWB (International) Limited no longer holds the single desk rights for bulk wheat 
exports, it will not be included in future STE notifications.  
B. SUMMARY
 OF LEGAL  BASIS  FOR  GRANTING  THE  RELEVANT  EXCLUSIVE  OR 
SPECIAL  RIGHTS  OR PRIVILEGES,  INCLUDING  LEGAL  PROVISIONS  AND  
SUMMARY  OF STATUTORY  OR CONSTITUTIONAL  POWERS 
 Prior to 1 July 2008,  the Wheat Marketing Act 1989 exempted AWB (International) Limited 
from the export controls of the Export Wheat Co mmission (previously the Wheat Export Authority).   G/STR/N/13/AUS 
 Page 3 
 
 
  This Act had previously enabled AWB (International)  Limited  to operate the commercial functions of 
the wheat export 'single desk' arrangement for bulk wheat during the relevant part of the reporting 
period.     The Wheat Marketing Act 1989  was repealed on 1 July 2008 , when the Wheat Export 
Marketing Act 2008 , and the Wheat Export Marketing (Repeal and Consequential Amendments) Act 
2008  came into force.  This reform ended AW B International's export monopoly powers for bulk 
wheat exports.  Since 1 July 2008, other companie s have been eligible to apply for accreditation, 
provided the proposed exporting company is register ed in Australia and hence subject to Australian 
law.  III. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE 
A. SUMMARY
 STATEMENT  PROVIDING  OVERVIEW  OF OPERATIONS  OF THE  STATE  
TRADING  ENTERPRISE 
 During 1 January 2008 until 1 October 2008 AW B (International) Limited was responsible 
for managing the wheat export 'single desk' arrange ments through international wheat marketing and 
pooling services.  AWB (International) Limited was a wholly owned subsidiary of AWB Limited.  
AWB Limited is listed on the Australian  Stock Exchange, a nd operates under the Corporations Act 
2001  and Stock Exchange listing rules.   
  Until 1 October 2008, the regulatory and commerc ial functions of wheat marketing operated 
separately.  The Export Wheat Commission (whi ch replaced the Wheat Export Authority on 
1 October 2007) exercised regulatory functions, wh ile AWB (International)  Limited operated the 
commercial aspects of the "single desk" arrangements for bulk wheat exports.     Under the former arrangements AWB (Inte rnational) Limited, pursuant to the Wheat 
Marketing Act 1989 , had to purchase all wheat offered to it for pooling which met its classification 
and other standards.  AWB (International) Lim ited did not need to apply to the Export Wheat 
Commission for consent to export bulk wheat.     AWB (International) Limited and its parent , AWB Limited, did not receive any special 
financing privileges from the Australian Govern ment, such as government grants, loans, loan 
guarantees, or underwriting of operatio nal costs.  Since privatisation in 1999, AWB Limited directly 
financed all pooling and commercial activities using its own capital.  The company was subject to 
normal obligations under the Corporations Act  2001  with no guarantees, either actual or implied, and 
no government financial exposure.   
 
B. SPECIFICATION
 OF EXCLUSIVE  OR SPECIAL  RIGHTS  OR PRIVILEGES  ENJOYED  
BY THE  STATE  TRADING  ENTERPRISE 
 Prior to 1 July 2008, AWB (International) Limited had been respons ible for managing the 
'single desk' arrangement for bulk wheat exports through international wheat marketing and pooling 
services.  Under the former 'single desk' arrangeme nts AWB (International) Limited had to purchase 
all wheat offered to it for poolin g which met its standards.   
 
 Prior to 1 July 2008, the Wheat Marketing Act 1989  provided that AWB (International) 
Limited did not need to apply to the Export Wheat Commission (previously the Wheat Export Authority) for consent to export wheat.  In a ddition, the Export Wheat Commission also had to 
consult AWB (International) Limited on applications  from third parties to export wheat in bulk.   
 G/STR/N/13/AUS 
Page 4  
 
   On 1 July 2008 new wheat export marketing arrangements commenced and under these 
reforms, AWB (International) Limited's expor t monopoly powers for bulk wheat exports were 
terminated.  Although the 'single desk' arrangeme nts were replaced with an export accreditation 
scheme managed by a new regulator, WEA on 1 July  2008, AWB (International) Limited was allowed 
to export bulk wheat without accreditation under transitional arrangements that terminated on 
1 October 2008.  These arrangements were to ensure that there were no delays in finalising the 2007-
08 crop while accreditation applications for prosp ective exporting companies were being assessed.  
 C. TYPE
 OF ENTITIES  OTHER  THAN  THE  STATE  TRADING  ENTERPRISE  THAT  ARE  
ALLOWED  TO ENGAGE  IN IMPORTATION/EXPORTATION  AND  CONDITIONS  FOR  
PARTICIPATION 
 Wheat can be imported into Australia by any entity.   
  Australian wheat can be exported in bulk sh ipments by companies accredited by Wheat 
Exports Australia, or in containers or bags.  
 
 The following information applies to  the relevant part (1 January 2008 until 
1 October 2008) of the reporting period (calendar years 2008 and 2009) only.    
 
Bulk shipments
 
 
 Prior to 1 July 2008, apart from AWB (Interna tional) Limited, any entity could export bulk 
wheat from Australia provided it obtained con sent from the Export Wheat Commission (previously 
the Wheat Export Authority).  As manager of the bulk wheat export "single desk" arrangement, AWB 
(International) Limited was entitled to export wheat  without obtaining prior consent from the Export 
Wheat Commission.   
 
 In considering requests to export bulk wheat by non-AWB (International) Limited entities, the 
Export Wheat Commission was required to assess them  against published guide lines and consult with 
AWB (International) Limited (there were limits on the information provided to AWB (International) 
Limited to ensure the confidentiality of the app licant was preserved).  The Export Wheat Commission 
assessed the applications in accordance with the Wheat Marketing Act 1989  and its guidelines and 
then made a recommendation to the Minister for Agriculture, Fisheries and Forestry whether the 
application should be approved or  rejected.  Under the former Wheat Marketing Act 1989 , the Export 
Wheat Commission could not make a decision on app lications without the written agreement of the 
Minister.  Under the former arrangements, the Mini ster had to consider each application, having 
regard to the public interest, and decide whethe r he agreed with the Ex port Wheat Commission's 
recommendations.  Where the Minister did not agree with the Export Wheat Commission's 
recommendation he could direct it to comply with his decision.    Non-bulk shipments
 
  The export of wheat in containers or bags  was deregulated effective from 27 August 2007.  
Exporters were no longer required to obtain consen t from the Export Wheat Commission (previously 
the Wheat Export Authority) to export wheat in bags  or containers.  However, exporters had to 
comply with the Non-bulk Wheat Quality Assura nce Scheme administered  by the Export Wheat 
Commission (this requirement ceased on 1 July 2008 for all non-bulk wheat exports from Australia).   
 
 The scheme was developed by the Export Wheat  Commission in consultation with industry, 
to ensure each wheat export consignment met the specifications in its sales contract.     G/STR/N/13/AUS 
 Page 5 
 
 
  D. HOW  IMPORT/EXPORT  LEVELS  ARE  ESTABLISHED  BY THE  STATE  TRADING  
ENTERPRISE 
 Australian wheat import levels are determined by market forces on a commercial basis.  There 
are no tariffs or quantitative restric tions applied to imports of wheat (HS 1001) into Australia.  Neither 
AWB (International) Limited nor the Export Wheat Commission (previously the Wheat Export 
Authority) have any role in regulati ng imports of wheat into Australia.   
  Prior to 1 July 2008, export levels were fo rmerly determined by the level of production in 
each year, the amount delivered to the National Pool and international and domestic market factors.  
During 1 January 2008 until 1 Octobe r 2008 AWB (International) Limite d was required by legislation 
to purchase all wheat offered to it for pooling which me t its standards.  In marketing this wheat AWB 
(International) Limited had a constitutional obligati on to maximise net returns to Australian growers 
who chose to deliver their wheat to AWB (International) Limited.    E. HOW
 EXPORT  PRICES  ARE  DETERMINED 
 Export prices are determined by prevailing world prices.  AWB (International) Limited's 
export contracts for Australian wheat  were established through three methods:  direct negotiation with 
importers; participation in open te nders; and through third party tr aders.  Export revenue and any 
other revenue from each pool established for a specific category (type and quality) of wheat was returned to pool participants afte r deduction of marketing, finance and other costs associated with that 
pool.   
 
F. HOW
 THE  RESALE  PRICES  OF IMPORTED  PRODUCTS  ARE  DETERMINED 
 Not applicable.  These arrangements did not cover imports.   
 
G. WHETHER  LONG-TERM  CONTRACTS  ARE  NEGOTIATED  BY THE  STATE  TRADING  
ENTERPRISE.   WHETHER  THE  STATE  TRADING  ENTERPRISE  IS USED  TO FULFIL  
CONTRACTUAL  OBLIGATIONS  ENTERED  INTO  BY THE  GOVERNMENT 
 During 1 January 2008 until 1 October 2008, a ll sales contracts were entered into on a 
commercial basis.  AWB (International) Limited was not used to fulfil contr actual obligations entered 
into by the government nor did the government enter into any obligations on behalf of the AWB 
(International) Limited. 
 H. BRIEF
 DESCRIPTION  OF MARKET  STRUCTURE 
 The Australian domestic market for wheat h as been deregulated since 1989.  Commercial 
grain traders and users have full access to the domestic market and growers have the choice of a wide 
range of marketing options.  During 1 January 20 08 until 1 October 2008, the domestic market for 
wheat for milling (flour and industrial uses) or stock feed purposes accounted for approximately a third of Australian wheat production, with ex ports and stocks accounting for the balance of 
production.  While AWB (International) Limited's p ools were predominantly export oriented, sales of 
National Pool wheat from AWB (International) Limite d to the domestic market were conducted either 
through direct negotiation or by an open tender system. 
 
 From 1 July 2008, Australia's export monopoly arrangements for bulk wheat were terminated 
when new wheat export mark eting arrangements commenced  (refer to Section VI). 
 G/STR/N/13/AUS 
Page 6  
 
  IV. STATISTICAL INFORMATION (SEE ATTACHED TABLES I - III) 
 The data contained in the attached tables is not available on a consistent basis and figures in 
different columns are generally not comparable.  In  particular, no adjustments have been made for 
factors such as quality, transport terms, and different  time periods (e.g. marketing year versus fiscal 
year).  Differing sources have had to be used, also  resulting in non-comparability.  In addition, much 
of the data is not collected or is otherwise not available. 
  Key to notes:   NA Not available. 
N/A Not applicable. 
 
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE ( AS APPROPRIATE)  
 Not applicable.   
 VI. ADDITIONAL INFORMATION ( AS APPROPRIATE)  
 The Wheat Export Marketing Act 2008,  which implements the Australian Government's 
reform of wheat export marketing arrangements, came into effect on 1 July 2008.  Under the 
legislation, the Wheat Marketing Act 1989  was repealed on 1 July 2008 and AWB (International) 
Limited's export monopoly for bulk wheat was terminated and replaced by a wheat export 
accreditation scheme. 
  A new regulator, Wheat Exports Australia, w as established to accredit exporters of bulk 
wheat under the scheme.  Accreditation is based  on probity and performance tests.  Successful 
applicants are also required to adhe re to strict reporting requirements. 
 
 As foreshadowed in G/STR/N/12/AUS, the Minist er for Agriculture, Fisheries and Forestry 
ceased to hold the power to ve to bulk wheat export applica tions from 1 July 2008 after new 
arrangements were put in place (this power had pr eviously been held by AWB (International) 
Limited).  
 Wheat exports in bags and containers were  deregulated on 27 August 2007 (as notified in 
G/STR/N/12/AUS).   As foreshadowed in G/STR/N/12/AUS, the Pr oductivity Commission has conducted a review 
into the new wheat export marketing arrangements.  The final report was released to the Australian 
Government in July 2010, and is  currently under embargo until it is presented to the Australian 
Parliament.   As AWB (International) Limited no longer holds the single desk rights for bulk wheat exports, it will not be included in future STE notifications.   G/STR/N/13/AUS 
 Page 7 
 
 
  I. ENUMERATION OF STATE TRADING ENTERPRISES 
A. IDENTIFICATION  OF STATE  TRADING  ENTERPRISE 
 Grain Pool Pty Ltd.   
 
B. DESCRIPTION  OF PRODUCTS  AFFECTED  (INCLUDING  TARIFF  ITEM  NUMBER(S)  
ENCOMPASSED  IN PRODUCT  DESCRIPTION) 
 Barley [HS 1003], Lupins [HS 0713.90], Canola [HS 1205] grown in the State of Western 
Australia and exported in bulk shipments.   
 
II. REASON AND PURPOSE 
A. REASON  OR PURPOSE  FOR  ESTABLISHING  AND/OR  MAINTAINING  STATE  
TRADING  ENTERPRISE 
 The information contained in this notificati on regarding Grain Pool Pty Ltd relates to the 
period 1 January 2008 until 23 October 2009.  
 Prior to 23 October 2009, Grain Pool Pty Ltd held the main export licence to export bulk 
barley, lupins and canola from the State of Western Australia.  The purpose was to provide an integrated supply chain, provide greater customer focus for growers and buyers, support grain quality, 
and provide higher grower returns.   On 24 October 2009 the Western Australian Gove rnment deregulated the export of barley, 
canola and lupins so that traders are no longer requi red to apply for a licence to export these grains 
from the state of WA.    
 As these export arrangements have been terminated, Grain Pool Pty Ltd will not be 
included in future STE notifications .  
 
B. SUMMARY
 OF LEGAL  BASIS  FOR  GRANTING  THE  RELEVANT  EXCLUSIVE  OR 
SPECIAL  RIGHTS  OR PRIVILEGES,  INCLUDING  LEGAL  PROVISIONS  AND  
SUMMARY  OF STATUTORY  OR CONSTITUTIONAL  POWERS 
 Prior to 23 October 2009, under the State of Western Australia's Grain Marketing Act 2002, 
Grain Pool Pty Ltd held the main export licence to  export bulk barley, lupins and canola from the 
State of Western Australia.  Under the Grain Marketing Act 2002  as it existed prior to 
23 October 2009, the main export licen ce covered barley, lupins and ca nola in bulk shipments, but not 
export shipments in containers or bags  nor exports of processed grain.   
   The Grain Marketing Amendment Regulations 2009 amended the Grain Marketing 
Regulations 2002 on 24 April 2009  to remove barley, lupins and canola from the list of prescribed 
grains for the purposes of the Grain Marketing Act 2002.  These regulations required a period of six 
months to pass before they came into effect.  Th is period passed on 23 October 2009.  As a result of 
this deregulation, from 24 October 2009 grain ma rketers are no longer required to have a special 
export licence or any other form of licence or accreditation to export grain from the State of Western Australia. 
 G/STR/N/13/AUS 
Page 8  
 
  III. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE 
A. SUMMARY
 STATEMENT  PROVIDING  OVERVIEW  OF OPERATIONS  OF THE  STATE  
TRADING  ENTERPRISE 
 Grain Pool Pty Ltd is a wholly-owned subsidiary of the grower-owned company Co-operative 
Bulk Handling Ltd.  During 1 January 2008 until 23  October 2009, Grain Pool Pty Ltd held the main 
export licence to export bulk barley, lupins and canola from the State of Western Australia.  During 
this period, within the State of Western Au stralia, the Grain Licensing Authority (GLA) (an 
independent statutory body) assessed applications and issued export licences for the bulk export of barley, lupins and canola by companies other than Grain Pool Pty Ltd.   
 
B. SPECIFICATION
 OF EXCLUSIVE  OR SPECIAL  RIGHTS  OR PRIVILEGES  ENJOYED  
BY THE  STATE  TRADING  ENTERPRISE 
 Grain Pool Pty Ltd held the main export licence to export bulk barley, lupins and canola from 
the State of Western Australia.  This arrangement ceased on 23 October 2009.   
 
C. TYPE  OF ENTITIES  OTHER  THAN  THE  STATE  TRADING  ENTERPRISE  THAT  ARE  
ALLOWED  TO ENGAGE  IN IMPORTATION/EXPORTATION  AND  CONDITIONS  FOR  
PARTICIPATION 
 Barley, lupins and canola can be imported into Australia by any entity.   
  For the relevant part (1 January 2008 until 23 October 2009) of the reporting period (calendar 
years 2008 and 2009) Grain Pool Pty Ltd held the main, export licence to export bulk barley, lupins 
and canola from the State of Western Australia.  Pr ior to 23 October 2009, Grain Pool Pty Ltd was not 
the sole West Australian or Austra lian exporter of these products.  It did not have any control over the 
export of these commodities in other Australian states.    
 During 1 January 2008 until 23  October 2009, the GLA assessed applications and issued 
export licences for the bulk export of barley, lupins and canola from the State of Western Australia by companies other than Grain Pool Pty Ltd.  The GLA had no control over export shipments in containers or bags or exports of processed gr ain as these were deregulated in November 2002.   
 
D. HOW
 IMPORT/EXPORT  LEVELS  ARE  ESTABLISHED  BY THE  STATE  TRADING  
ENTERPRISE 
 Import and export levels are determined by market forces on a commercial basis.  For the 
relevant part (1 January 2008 until 23 October 2009) of the reporting period (calendar years 2008 and 
2009) Grain Pool Pty Ltd did not establish export leve ls, nor did it import barley, lupins or canola.  
There were no tariffs or quantitative restrictions a pplied on the import of barley (HS 1003), lupins (ex 
HS 0713.90) and canola (ex HS 1205) into Australia.   
 
E. HOW  EXPORT  PRICES  ARE  DETERMINED 
 Export prices are determined by prevailing world prices.   
 
F. HOW  THE  RESALE  PRICES  OF IMPORTED  PRODUCTS  ARE  DETERMINED 
 Not applicable.  These arrangements did not cover imports.   
  G/STR/N/13/AUS 
 Page 9 
 
 
  G. WHETHER  LONG-TERM  CONTRACTS  ARE  NEGOTIATED  BY THE  STATE  TRADING  
ENTERPRISE.   WHETHER  THE  STATE  TRADING  ENTERPRISE  IS USED  TO FULFIL  
CONTRACTUAL  OBLIGATIONS  ENTERED  INTO  BY THE  GOVERNMENT 
 All sales contracts were entered into on a commerc ial basis.  Grain Pool Pty Ltd was not used 
to fulfil contractual obligations entered into by th e government nor did the government enter into any 
obligations on behalf of Grain Pool Pty Ltd.   
 
H. BRIEF  DESCRIPTION  OF MARKET  STRUCTURE 
 Around 70 to 80 per cent of national barley pro duction is exported annuall y.  For the relevant 
part (1 January 2008 until 23 October 2009) of the reporting period (calendar years 2008 and 2009) 
barley was subject to specific export marketing arra ngements in the State of Western Australia (Grain 
Pool Pty Ltd) only.  Export marketing has been deregulated in the States of South Australia (2007), 
New South Wales (2005), Queensland (2002) and Vict oria (2001).  There are no restrictions on the 
domestic marketing of barley in Australia.  Domest ic prices are influenced by returns from barley 
export markets and domestic availability of feed a nd malting barley, and alternative feed grains.   
 
 Canola is the major oilseed crop in Australia and is produced mainly in the States of New 
South Wales, South Australia, Victoria and Western Australia.  Domestic trading is deregulated for 
oilseeds, although export regulatory arrangements exis ted for canola in the State of Western Australia 
until 23 October 2009.  Export regulatory arrange ments in the State of New South Wales were 
terminated with effect from 1 October 2005.   
 
 Lupin production occurs in the States of New South Wales, South Australia, Victoria and Western Australia.  For the relevant part (1 January 2008 until 23 October 2009) of the reporting 
period (calendar years 2008 and 2009) export regulat ory arrangements existed for lupins in Western 
Australia only until 23 October 2009.   
 
IV. STATISTICAL INFORMATION ( SEE ATTACHED TABLES I - III)  
 The data contained in the attached tables is not available on a consistent basis and figures in 
different columns are generally not comparable.  In  particular, no adjustments have been made for 
factors such as quality, transport terms, and different  time periods (e.g. marketing year versus fiscal 
year).  Differing sources have had to be used, also  resulting in non-comparability.  In addition, much 
of the data is not collected or is otherwise not available.   
  Key to notes:     NA Not available.   
N/A Not applicable.   
 
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE ( AS APPROPRIATE)  
 Not applicable.   
 
VI. ADDITIONAL INFORMATION ( AS APPROPRIATE ) 
 As export licensing requirements no long er apply in the State of Western Australia, 
Grain Pool Pty Ltd will not be included in future STE notifications.  G/STR/N/13/AUS 
Page 10  
 
   
I. ENUMERATION OF STATE TRADING ENTERPRISES 
A. IDENTIFICATION
 OF STATE  TRADING  ENTERPRISES 
 Queensland Sugar Limited (QSL).1 
 
B. DESCRIPTION  OF PRODUCTS  AFFECTED  (INCLUDING  TARIFF  ITEM  NUMBER(S)  
ENCOMPASSED  IN PRODUCT  DESCRIPTION) 
 Raw cane sugar grown in the State of Queensland [HS 1701.11].  
 
II. REASON AND PURPOSE 
A. REASON  OR PURPOSE  FOR  ESTABLISHING  AND/OR  MAINTAINING  STATE  
TRADING  ENTERPRISE 
 The information contained in this notification for QSL relates to the period 1 January 2008 to 
30 September 2009.  
 QSL was provided with authorisation to negotia te, if required, commercial export contractual 
arrangements with milling companies and cooperatives.   Such arrangements could involve agreement 
between parties for collective selling and uniform ( pool) pricing, which might otherwise be actionable 
under the Commonwealth's Trade Practices Act 1974 .  QSL was permitted to perform any such acts 
until 30 September 2009, when these arrangements ceased to have effect.   
 QSL will not be included in future STE notifications.  QSL no longer possesses any 
exclusive or special purchasing or selling rights in th e domestic and export markets.  Other entities are 
now able to freely purchase and export raw sugar fro m Queensland, on the sam e basis that purchases 
and sales of refined sugar are conducted.   
 As notified in Australia's previous notifi cation (G/STR/N/12/AUS), on 1 January 2006, the 
export monopoly arrangements for raw sugar produced in Queensland, together with the acquisition 
powers in regard to raw sugar produced  in that state, were terminated. 
 
B. SUMMARY
 OF LEGAL  BASIS  FOR  GRANTING  THE  RELEVANT  EXCLUSIVE  OR 
SPECIAL  RIGHTS  OR PRIVILEGES,  INCLUDING  LEGAL  PROVISIONS  AND  
SUMMARY  OF STATUTORY  OR CONSTITUTIONAL  POWERS 
 Following the termination of QSL's export marketing rights on 1 January 2006, the Sugar 
Industry Act 1999  continued to provide authority for QSL to negotiate, if required, an agreement with 
the Queensland mills it has established commercial c ontracts with to allow for collective selling and 
uniform (pool) pricing arrangements.  These a rrangements ceased on 30 September 2009.   
                                                      
1 The notification in regard to QSL is without prej udice to Australia's view on the categorisation of 
QSL for the purposes of Article XVII of GATT 1994 and the working definition of Article 1 of the Uruguay Round Understanding on the Interpretation of Article XVII of the General Agreement on Tariffs and 
Trade 1994 .  Following the changes introduced in 2006, the sole reason for the continuing inclusion of QSL in 
the present notification relates to an authority to estab lish an arrangement with mills to contract for collective 
selling and uniform pricing, arrangements which might otherwise be actionable under the Commonwealth Trade 
Practices Act 1974 .  In Australia's view, that authorisation is na rrower than the exempti ons accorded by certain 
other WTO Members from anti-trust or competition laws in  the territory of those Members.  Australia further 
notes that those Members have not notified enterprises benefiting from such exemptions, including exemptions 
granted to exporters to fix export prices between themselves (G/STR/Q1/USA/ 11, G/STR/Q1/USA/8).    G/STR/N/13/AUS 
 Page 11 
 
 
   
III. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE 
A. SUMMARY  STATEMENT  PROVIDING  OVERVIEW  OF OPERATIONS  OF THE  STATE  
TRADING  ENTERPRISE 
 Under the Sugar Industry Act 1999 , an agreement between QSL and Queensland mills could 
be established, if required, to allow collective se lling and uniform (pool) pricing arrangements for the 
export of raw sugar produced in Queensland.  These arrangements ceased on 30 September 2009.  
 B. SPECIFICATION
 OF EXCLUSIVE  OR SPECIAL  RIGHTS  OR PRIVILEGES  ENJOYED  
BY THE  STATE  TRADING  ENTERPRISE 
 Following the termination of QSL's e xport marketing rights from Queensland on 
31 December 2005, a three-year transition period (s tarting 1 January 2006) was established whereby 
commercially negotiated contractual marketing arrangements between QSL and Queensland-based 
milling companies and Queensland-based cooperatives we re introduced.  To ensure compliance with 
the Commonwealth's Trade Practices Act 1974 , the Sugar Industry Act 1999  provided authority for 
QSL to establish an agreement between the mills it has contracts with for collective selling and 
uniform (pool) pricing, if required.     The exemption from the Trade Practices Act 1974  contained in the Sugar Industry Act 1999  
was provided exclusively to QSL.  The aut horisation expired on 30 September 2009.   
 
C. TYPE
 OF ENTITIES  OTHER  THAN  THE  STATE  TRADING  ENTERPRISE  THAT  ARE  
ALLOWED  TO ENGAGE  IN IMPORTATION/EXPORTATION  AND  CONDITIONS  FOR  
PARTICIPATION 
Sugar can be exported and imported into Australia by any entity. 
 
D. HOW  IMPORT/EXPORT  LEVELS  ARE  ESTABLISHED  BY THE  STATE  TRADING  
ENTERPRISE 
 Australian raw sugar import a nd export levels are determin ed by market forces on a 
commercial basis.  There are no tariffs or quant itative restrictions imposed on the import of raw 
sugar (HS 1701) into Australia.  QSL had no role in regulating imports of sugar into Australia. 
 
E. HOW  EXPORT  PRICES  ARE  DETERMINED 
 Export prices are determined by prevailing world prices.   
 
F. HOW  THE  RESALE  PRICES  OF IMPORTED  PRODUCTS  ARE  DETERMINED 
 Not applicable.  These arrangements do not cover imports.  
 
G. WHETHER  LONG-TERM  CONTRACTS  ARE  NEGOTIATED  BY THE  STATE  TRADING  
ENTERPRISE.   WHETHER  THE  STATE  TRADING  ENTERPRISE  IS USED  TO FULFIL  
CONTRACTUAL  OBLIGATIONS  ENTERED  INTO  BY THE  GOVERNMENT 
 For the relevant part (1 January 2008 un til 30 September 2009) of the reporting period 
(calendar years 2008 and 2009) all sales contracts were  entered into on a commercial basis.  QSL was 
not used to fulfil contractual obligations entered into by the government nor did the government enter 
into any obligations on behalf of QSL. G/STR/N/13/AUS 
Page 12  
 
   
H. BRIEF
 DESCRIPTION  OF MARKET  STRUCTURE 
 The Australian sugar market is open to competition from imports.  Approximately 95 per cent 
of Australia's sugar is produced in the State of Queensland with the remaining 5 per cent produced in 
the State of New South Wales.   
 
 Other entities can export raw sugar produced in Qu eensland.  In other Australian states, sugar 
marketing is undertaken by the mill owner.   
 
IV. STATISTICAL INFORMATION ( SEE ATTACHED TABLES I - III)  
 The data contained in the attached tables is not available on a consistent basis and figures in 
different columns are generally not comparable.  In  particular, no adjustments have been made for 
factors such as quality, transport terms, and different  time periods (e.g. marketing year versus fiscal 
year).  Differing sources have had to be used, also  resulting in non-comparability.  In addition, much 
of the data is not collected or is otherwise not available.   
 
 Key to notes:     NA Not available.   
N/A Not applicable.    
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE ( AS APPROPRIATE)  
 Not applicable.   
 
VI. ADDITIONAL INFORMATION ( AS APPROPRIATE ) 
As QSL no longer possesses any exclusive or sp ecial purchasing or selling rights in the 
domestic and export markets, it will not be included in future STE notifications.   G/STR/N/13/AUS 
 Page 13 
 
 
  I. ENUMERATION OF STATE TRADING ENTERPRISES 
A. IDENTIFICATION  OF STATE  TRADING  ENTERPRISES 
 The Rice Marketing Board for the State of New South Wales.  
 
B. DESCRIPTION  OF PRODUCTS  AFFECTED  (INCLUDING  TARIFF  ITEM  NUMBER(S)  
ENCOMPASSED  IN PRODUCT  DESCRIPTION) 
 Rice grown in the State of New South Wales [HS 1006].  
 
II. REASON AND PURPOSE 
A. REASON  OR PURPOSE  FOR  ESTABLISHING  AND/OR  MAINTAINING  STATE  
TRADING  ENTERPRISE 
 The Rice Marketing Board for the State of Ne w South Wales' primary purpose is to ensure 
that rice grown in the State of New South Wales is  marketed, particularly through the operation of an 
export "single desk".  
 
B. SUMMARY  OF LEGAL  BASIS  FOR  GRANTING  THE  RELEVANT  EXCLUSIVE  OR 
SPECIAL  RIGHTS  OR PRIVILEGES,  INCLUDING  LEGAL  PROVISIONS  AND  
SUMMARY  OF STATUTORY  OR CONSTITUTIONAL  POWERS 
 The Rice Marketing Board for the State of New South Wales' operating authority is provided 
by the State of New South Wales Rice Marketing Act 1983  (previously the Marketing of Primary 
Products Act 1983) .  A vesting proclamation has been enacted, vesting all rice produced in the State 
of New South Wales in the Board.  This provides th e Board with power to operate a "single desk" for 
exports of rice grown in NSW.   
 
III. DESCRIPTION OF THE FUNCTIONING OF THE STATE TRADING ENTERPRISE 
A. SUMMARY  STATEMENT  PROVIDING  OVERVIEW  OF OPERATIONS  OF THE  STATE  
TRADING  ENTERPRISE 
 All paddy rice grown in the State of New South Wales is divested from producers and 
becomes the sole property of the Rice Marketi ng Board for the State of New South Wales under a 
vesting proclamation.  However, the Board has give n exemption from vesting if the rice is delivered 
to an Authorised Buyer appointed by the Board.  All applicants are eligible to become Authorised 
Buyers, subject only to the Board's discretion to re fuse an application where it has reason to believe 
that the applicant will breach the conditions of appointment.  
  Consequently, all paddy rice must be delivered to an Authorised Buyer.  Authorised Buyers 
are able to freely buy and sell rice grown in New S outh Wales on the domestic market in Australia.   
 
 The Rice Marketing Board for the State of  New South Wales has appointed Ricegrowers 
Limited (trading as SunRice) as its Sole and Ex clusive Export Licence holder for exports of rice 
grown in New South Wales (Ricegrowers Lim ited is also an Authorised Buyer).   
  Under the vesting rules, all rice must be deliv ered to an Authorised Buyer.  The Sole and 
Exclusive Export Licence holder is obliged to act as a buyer of last resort if other Authorised Buyers 
do not purchase the paddy rice.   
 G/STR/N/13/AUS 
Page 14  
 
   It is the Board's responsibility to ensure that these arrangements generate the maximum 
monetary returns on behalf of all New South Wales rice growers.    B. SPECIFICATION
 OF EXCLUSIVE  OR SPECIAL  RIGHTS  OR PRIVILEGES  ENJOYED  
BY THE  STATE  TRADING  ENTERPRISE 
 The State of New South Wales Rice Marketing Act 1983  (previously the Marketing of 
Primary Products Act 1983)  entitles the Rice Marketing Board for the State of New South Wales to 
exclusive rights to export rice grown in the State of New South Wales.   
 
C. TYPE  OF ENTITIES  OTHER  THAN  THE  STATE  TRADING  ENTERPRISE  THAT  ARE  
ALLOWED  TO ENGAGE  IN IMPORTATION/EXPORTATION  AND  CONDITIONS  FOR  
PARTICIPATION 
 Rice can be imported into Australia by any entity.   
  The Rice Marketing Board for the State of Ne w South Wales is the sole exporter of rice 
grown in New South Wales.  The Board does not have  special or exclusive privileges to import rice.  
There are no statutory restrictions on the export of rice in other Australian States.   
 
D. HOW
 IMPORT/EXPORT  LEVELS  ARE  ESTABLISHED  BY THE  STATE  TRADING  
ENTERPRISE 
 Australian rice import and export levels are determined by ma rket forces on a commercial 
basis.  There are no tariffs or quantitative restric tions applied on the import of rice (HS 1006) into 
Australia.  The Rice Marketing Board for the Stat e of New South Wales has no role in regulating 
imports of rice into Australia.   
 E. HOW
 EXPORT  PRICES  ARE  DETERMINED 
 Export prices are determined by prevailing world prices.   
 
F. HOW  THE  RESALE  PRICES  OF IMPORTED  PRODUCTS  ARE  DETERMINED 
Not applicable.  These arrangements do not cover imports.   
 
G. WHETHER  LONG-TERM  CONTRACTS  ARE  NEGOTIATED  BY THE  STATE  TRADING  
ENTERPRISE.   WHETHER  THE  STATE  TRADING  ENTERPRISE  IS USED  TO FULFIL  
CONTRACTUAL  OBLIGATIONS  ENTERED  INTO  BY THE  GOVERNMENT 
 All sales contracts are entered into on a commerc ial basis.  The Rice Marketing Board for the 
State of New South Wales was not used to fulf il contractual obligations entered into by the 
government nor did the government enter into any obligations on behalf of the Rice Marketing Board 
for the State of New South Wales.   
 
H. BRIEF  DESCRIPTION  OF MARKET  STRUCTURE 
 The Australian market is open to competiti on from imports and significant quantities of rice 
are imported.  About 99 per cent of total rice grown in Australia occurs in the State of New South Wales.   
 
 Effective from 1 July 2006, the domestic marketing arrangements for rice grown in New South Wales were deregulated and a system of mu ltiple authorised buyer permits for sales within  G/STR/N/13/AUS 
 Page 15 
 
 
  Australia was introduced.  Entities wanting to partic ipate in the domestic market for rice grown in 
New South Wales must apply to the Rice Marketi ng Board for the State of New South Wales to 
become an Authorised Buyer.   Authorised Buyers are able to buy and sell rice grown in New South Wales on the domestic 
market in Australia. 
 
IV. STATISTICAL INFORMATION ( SEE ATTACHED TABLES I - III)  
 The data contained in the attached tables is not available on a consistent basis and figures in 
different columns are generally not comparable.  In  particular, no adjustments have been made for 
factors such as quality, transport terms, and different  time periods (e.g. marketing year versus fiscal 
year).  Differing sources have had to be used, also  resulting in non-comparability.  In addition, much 
of the data is not collected or is otherwise not available.   Key to notes: 
 
 NA Not available.  N/A Not applicable. 
 
V. REASON WHY NO FOREIGN TRADE HAS TAKEN PLACE ( AS APPROPRIATE)  
 Not applicable.  
 
VI. ADDITIONAL INFORMATION ( AS APPROPRIATE)  
 Under the Rice Marketing Act 1983 , the New South Wales Minister for Primary Industries is 
required to review the Act to determine whether its policy objectives remain valid and whether the 
terms of the Act remain appropriate for securing those objectives.  The review is to be undertaken as 
soon as possible after the period of two years follo wing the commencement of the 2007 amendments.  
A report on the outcome of the review is due to be tabled in the each house of the New South Wales 
Parliament by December 2010.    
  G/STR/N/13/AUS 
Page 16 
TABLE I 
 
STATISTICAL INFORMATION, IMPORTS 
 
Description of product(s) 
(including HS number(s)) Unit Year Total 
quantity 
imported Quantity 
imported by 
state trading 
enterprise Average 
import price Average 
representative 
domestic sales 
price Mark-up National 
production 
1   2 3 4 5 6 7 
Wheat (HS 1001) — AWB (International) Limited '000 tonnes 2007/2008 
2008/2009 0.19
1 
0.11 Nil 
Nil A$658/t5 
A$783/t A$425/t2 
A$314/t NA 
NA 13,5694 
21,420 
Barley (HS 1003) — Grain 
Pool Pty Ltd) '000 tonnes 2007/2008 
2008/2009 0.051 
0.09 Nil 
Nil A$2104/t5 
A$951/t A$349/t2 
A$268/t NA 
NA 7,1604 
7,997 
Lupins (HS 0713.90) — 
Grain Pool Pty Ltd '000 tonnes 2007/2008 
2008/2009 NA 
NA Nil 
Nil NA 
NA A$315/t2 
A$262/t NA 
NA 6624 
708 
Canola (HS 1205) — Grain 
Pool Pty Ltd  '000 tonnes 2007/2008 
2008/2009 0.281 
0.44 Nil 
Nil A$2631/t5 
A$2963/t A$664/t2 
A$587/t NA 
NA 1,2144 
1,844 
Raw Cane Sugar 
(HS 1701.11) — Queensland 
Sugar Limited '000 tonnes 2007/2008 
2008/2009 1.301 
28.58 Nil 
Nil A$1000/t5 
A$452/t A$267/t2 
A$331/t NA 
NA 4,7634 
4,634 
Rice (HS 1006) — The Rice 
Marketing Board for the 
State of NSW '000 tonnes 2007/2008 
2008/2009 1751 
182 Nil 
Nil A$815/t5 
A$1215/t A$615/t3 
A$814/t NA 
NA 184 
61 
 
1 Australian Bureau of Statistics , International Trade, Australia , cat no. 5465.0. 
2 ABARE Australian Crop Report , various issues. 
3 ABARE, Australian Commodity Statistics 2009  (Australian indicator price;  milled). 
4 ABARE, Australian Commodities , Vol 17 No 2, June 2010. 
5 Australian Bureau of Statistics, unpublished data.   
 
Key to table: 
 NA Not available.   
 N/A Not applicable. 
  
   G/STR/N/13/AUS
 Page 17TABLE II 
 
STATISTICAL INFORMATION, EXPORTS 
 
Description of product(s) 
(including HS number(s)) Unit Year Total 
quantity 
exported Quantity 
exported by state 
trading 
enterprises Average 
procurement 
price Average 
representative 
domestic sales 
price Average 
export 
price National 
production 
1   2 3 4 5 6 7 
Wheat (HS 1001) — AWB 
(International) Limited '000 tonnes 2007/2008 
2008/2009 7,4081 
13,410 4,9186 
12,212 A$423/t5  
A$317/t A$425/t2 
A$314/t A$404/t1 
A$375/t 13,5694 
21,420 
Barley (HS 1003) — Grain 
Pool Pty Ltd '000 tonnes 2007/2008 
2008/2009 4,0511 
3,898 1,3678 
1,544 NA 
NA A$349/t2 
A$268/t A$369/t1 
A$339/t 7,1604 
7,997 
Lupins (HS 0713.90) — 
Grain Pool Pty Ltd '000 tonnes 2007/2008 
2008/2009 761 
157 558 
274 NA 
NA A$315/t2 
A$262/t A$413/t1 
A$391/t 6624 
708 
Canola (HS 1205) — Grain 
Pool Pty Ltd  '000 tonnes 2007/2008 
2008/2009 5191 
973 3518 
640 NA 
NA A$664/t2 
A$587/t A$584/t1 
A$612/t 1,2144 
1,844 
Raw Cane Sugar 
(HS 1701.11) — Queensland Sugar Limited '000 tonnes 2007/2008 
2008/2009 3,493
1 
3,268 NA 
NA NA 
NA A$267/t2 
A$331/t A$288/t1 
A$409/t 4,7634 
4,634 
Rice (HS 1006) — The Rice 
Marketing Board for the 
State of NSW '000 tonnes 2007/2008 
2008/2009 781 
32 NA 
NA A$461/t7  
A$566/t A$615/t3 
A$814/t A$919/t1 
A$975/t 184 
61 
 
1 Australian Bureau of Statistics , International Trade, Australia , cat no. 5465.0. 
2 ABARE Australian Crop Report , various issues. 
3 ABARE, Australian Commodity Statistics 2009  (Australian indicator price; milled). 
4 ABARE, Australian Commodities , Vol 17 No 2, June 2010. 
5 ABARE, Australian Commodities, Vol 16 No 3, September 2009  (estimate for Australian premium white wheat; net pool return) 
6 Australian Bureau of Statistics, International Trade, Australia, cat no. 5465.0 (NB: figure is for marketing year, October – September) 
7 Ricegrowers Limited (trading as SunRice, unpublished data) 
8 Co-Operative Bulk Handling Limited (Grain Pool Pty Ltd, unpublishe d data (NB: figure is for marketing year, November – October) ). 
 
Key to table: 
 NA Not available.    N/A Not applicable.  
  
  G/STR/N/13/AUS 
Page 18 
TABLE III 
 
STATISTICAL INFORMATION, DOMESTIC ACTIVITIES 
 
Description of product(s) 
(including HS number(s)) Unit Year Domestic purchases 
by state trading 
enterprise National 
production Domestic sales by 
state trading 
enterprise National 
consumption 
1   2 3 4 5 
Wheat (HS 1001) — AWB (International) Limited '000 tonnes
 2007/2008 
2008/2009  NA NA
 13,5691 
21,420 N/A 
N/A 6,5112 
7,294  
Barley (HS 1003) — Grain Pool Pty Ltd
 '000 tonnes  2007/2008 2008/2009 NA 
NA 7,160
1 
7,997  N/A 
N/A 2,4602 
2,523  
Lupins (HS 0713.90) — Grain Pool 
Pty Ltd  '000 tonnes 2007/2008 
2008/2009 NA 
NA 6621 
708 N/A 
N/A 6652 
632 
Canola (HS 1205) — Grain Pool Pty 
Ltd '000 tonnes 2007/2008 
2008/2009 NA 
NA 1,2141 
1,844  N/A 
N/A 6022 
660 
Raw Cane Sugar (HS 1701.11) — 
Queensland Sugar Limited  '000 tonnes 2007/2008 
2008/2009 NA 
NA 4,7631 
4,634 N/A 
N/A NA 
NA 
Rice (HS 1006) — The Rice 
Marketing Board for the State of 
NSW  '000 tonnes 2007/2008 
2008/2009 NA 
NA 181 
61 N/A 
N/A 1573 
164 
 
1 ABARE, Australian Commodities , Vol 17 No 2, June 2010.   
2 ABARE, Australian Crop Report , No 154, June 2010.   
3 ABARE, Australian Commodity Statistics 2009  (milled/table rice only (excludes rice used for feed, brea kfast cereals and other purposes); includes imports). 
 
 Key to table: 
  NA Not available 
  N/A Not applicable 
 
__________