Consultation for 2025/26 SA Location Differentials

1. Purpose

To consult with Members on 2025/26 SA Location Differentials.

2. Background

GTA publishes the LDs for the storage locations of members in QLD, NSW, VIC, SA and WA annually to enable participants using the GTA Contract No. 2 Grain and Oilseeds in Bulk – Basis Track to price grain at up-country sites.

GTA LDs for QLD, NSW and VIC have been published for the 2025/26 season via GTA Member Update 15 of 25, 29 August 2025.

The industry has agreed to use the Bunge and CBH Group published freight rates for South Australia (SA) and Western Australia (WA) each year, subject to approval by the GTA Commerce Committee.

The GTA Commerce Committee has received Bunge information for the SA LDs for the 2025/26 season. Members have the opportunity for Member Submission on SA LDs as proposed here. Given the late stage of the season, the Committee agreed that a short submission period is appropriate.

NB: Data for Location Differentials for WA is still to be provided. Once provided and reviewed by the Commerce Committee, it shall decide if a Member Consultation process is warranted.

3. Review of Location Differentials & Amendments for SA

As per the Board-approved Standard Operating Procedure (SOP) for Location Differentials (LDs), LDs for SA are based off the Bunge Export Select Rates. The rates for 2025/26 have been provided to GTA and subsequently to the Commerce Committee for analysis and review.

In 2020, the Commerce Committee performed a review of the SA LDs and considered if the Bunge Export Select Rates should continue to be the basis of the SA LDs or whether the Committee should consider establishing LDs based on the methodology utilised in QLD, NSW and VIC.

The review acknowledged:

• Given the dominant export market (and the existing scale of Bunge in SA), it is logical to consider the Bunge freight service Export Select as the base for LDs; and
• Setting up separate LDs would create a mismatch between LDs and execution costs (which is an issue that has been raised as a concern with EC LDs).
• There is no ground swell of support to change in the near term, and it was agreed to continue with the existing methodology of setting the SA LDs.

For non-Bunge sites, (where its main port is a Bunge port) that are linked to the agreed methodology (per SOP) “In SA where a site is not owned by Bunge, the LD shall be calculated using the road distance to port of the particular site based on Google Maps based on the rate/t per km rate for adjacent Bunge sites adjusted for distance.”

GTA has consulted with site owners to confirm recommended LDs for the respective sites.

Where a site exists in a town with a Bunge site, all sites in that town will be allocated the Bunge LD, in accordance with the SOP.

For Bunge sites located outside of SA, the East Coast LD methodology has been applied.

For LDs from Bunge sites to non-SA (Bunge) Port such as Portland or Geelong, the East Coast LD methodology has been applied.

The current GTA Location Differentials can be found at: graintrade.org.au/storage-and-handling/location-differential-tables/

4. Submissions – Due 26 September 2025

All industry feedback on the above issues must be received by COB 26 September and be forwarded to submissions@graintrade.org.au

All other submissions should be presented on the GTA Location Differential Nomination Form

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