Dalgrains into administration

Queensland-based Dalgrains into voluntary administration


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Dalgrains had close ties to the feedlot industry.

Dalgrains had close ties to the feedlot industry.

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Another grain trader is in trouble, with Dalgrains being placed into voluntary administration

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THE GRAINS industry is facing another trader going under, with the news Queensland-based Dalgrains has been placed in voluntary administration.

The news regarding the Dalby, Darling Downs based business, which had a strong presence in the stock feed market, including cereals and other commodities such as cotton seed, follows hot on the heels of the collapse of Victorian-based Lempriere Grain and Queensland's All Commodities earlier this year.

It is grim news for growers, who have suffered in previous grain trader insolvencies due to their position at the bottom of the food chain as unsecured creditors.

The fact Dalgrains is in voluntary administration rather than liquidation gives grower creditors slightly more hope of receiving a meaningful payout but there is still considerable angst among the grower community.

It is not known how much is owed to growers or whether there is a particular commodity the company was purchasing.

AgForce grains section president Brendan Taylor said his organisation was aware of the situation but said he had not been contacted by impacted growers.

"We have heard about it and we're keeping an eye on it but at this stage we don't know a lot more."

The company was registered as a Class C member of Grain Trade Australia, for businesses trading less than 250,000 tonnes of grain a year.

Adam Ward, of Worrells Solvency and Forensic Accountants has been appointed as liquidator.

The story Dalgrains into administration first appeared on Farm Online.

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