“We’re seeing good demand throughout the globe for wheat and different grain merchandise … Our worldwide enterprise, over greater than 12 months as a part of a diversification technique (so not in response to geopolitical issues), has executed an excellent job at broadening the variety of markets we commerce with and the scale of our buyer base,” Mr Spurway advised The Age and The Sydney Morning Herald.
“It is moved from someplace within the order of 30 markets 12 months in the past, to greater than 50 as we sit right here immediately, and over 340 prime quality prospects,” he stated.
Some Australian exporters have run into severe issues when attempting to get their product into China over the previous fortnight or so. A cargo of dwell Western Australian lobsters was left stranded at a Chinese language airport almost two weeks in the past, whereas some wine exporters have been advised by Chinese language importers that their wine wouldn’t clear Chinese language customs, so they need to not export it.
Extra just lately there was hypothesis that Australian wheat exports might be hit and Victorian timber exports have been suspended by China’s customs company.
“We have very sturdy prospects in China and we work carefully with them, and (with) Chinese language and Australian authorities to ensure that any enterprise we do with China meets their necessities and expectations,” Mr Spurway stated.
“I’ve acquired confidence within the general buying and selling relationship. We have folks on the bottom in China that work for GrainCorp, which might be very carefully aligned with supporting our prospects there,” he stated.
He was talking after GrainCorp launched its full-year end result for the 2019-20 monetary 12 months, which ended on September 30.
GrainCorp recorded a $343 million statutory web revenue, with the end result boosted by money from the sale of a liquid terminals storage enterprise, the demerger of its malt enterprise and a brand new insurance coverage type contract that generates cash throughout weaker grain harvests.
The majority grain handler recorded a 3.6 per cent rise in income to $3.66 billion for the 12 months, forward of consensus Bloomberg forecasts of $3.32 billion. The $343 million statutory web revenue compares to a $113 million statutory loss the earlier 12 months.
GrainCorp additionally declared its first dividend in two years, with a 7¢ absolutely franked closing dividend, to be paid on December 10.
Morgans analyst Belinda Moore stated whereas GrainCorp reported an underlying lack of $16 million, it recorded sturdy underlying progress in earnings and the resumption of dividends was an indication of board confidence.
“Importantly the outlook for monetary 12 months 2020-21 is far improved given good seasonal situations,” she stated.
GrainCorp shares closed down 1 per cent ay $3.95 on Thursday after lifting as excessive as $4.32.
Begin the day with main tales, unique protection and knowledgeable opinion from our main enterprise journalists delivered to your inbox. Join the Herald‘s right here and The Age‘s right here.