Australia to unify grain industry bodies in US$7.9M investment plan
The integration is intended drive collaboration, improve coordination and deliver ongoing efficiencies across key areas.
AUSTRALIA – The Grains Research and Development Corporation (GRDC) has announced a long-term investment of A$12 million (US$7.9 million) annually over the next decade to consolidate Australia’s grain market functions under a single body.
The move will see the Australian Export Grains Innovation Centre (AEGIC) integrated into Grains Australia Ltd., creating a streamlined entity responsible for advancing both domestic and international market activities.
In its August 25 statement, GRDC said the restructuring aims to strengthen collaboration, improve coordination and deliver efficiencies across classification, trade and market access, market information and insights, and innovation. By consolidating services, the industry body expects to enhance value delivery throughout the supply chain.
Nigel Hart, GRDC managing director, described the merger as a logical and efficient step that will reinforce the national grains sector.
“It makes sense to bring these agencies together, effectively combining the work being done to explore and understand emerging and current market needs, with critical ‘industry good’ activities such as classification, market access and market information,” he said.
“Ultimately, this will streamline activities and ensure operations are aligned, delivering a set of ‘industry good’ services through all parts of the grain supply chain for the benefit of Australian grain growers and building our relationships with trade and market networks internationally.”
AEGIC, established as a joint initiative of the Western Australian government and GRDC, has operated independently since its creation.
Grains Australia, formed in 2020, assumed GRDC’s membership stake in AEGIC in 2023. While AEGIC has focused heavily on technical market support and innovation, Grains Australia has worked on international engagement, classification, and market access.
Their unification reflects feedback from growers and industry stakeholders, who identified opportunities for greater efficiency and stronger global positioning.
Richard Simonaitis, CEO of Grains Australia, said the funding commitment represents a new era for the sector.
“This is a significant investment commitment, the likes of which have never been seen before in these functions supporting our markets, customers and the long-term future of the industry,” he said.
He added that integration will better align breeding and classification programs with global demand, helping Australian grain maintain a competitive edge.
The Western Australian government has indicated it will exit its AEGIC funding role when current arrangements expire in June 2026. A transition plan is underway to ensure continuity for critical AEGIC functions and its team.
“Grains Australia is working closely with AEGIC to manage an effective and considerate transition plan, most importantly, for the AEGIC team which has done a commendable job for growers,” Simonaitis said.
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