The Western Australian Farmers Federation is considering launching a class action against crop breeding company InterGrain to recover grain grower funds.
The announcement is below:
The Western Australian Farmers Federation (Inc.) (WAFarmers) Grains Section has resolved to take measures, which may include a class action, to recover grain grower funds after InterGrain made End Point Royalty (EPR) deductions on Carnamah wheat for the 2008/09 season.
Carnamah wheat commenced commercial production in 1997 with no EPR being charged until InterGrain unexpectedly imposed a $2 a tonne levy for the 2008/09 season. WAFarmers believes this EPR is unjustified and further compounding this, there was limited and untimely advice provided by InterGrain to growers that an EPR was to be charged.
WAFarmers Grains Section President, Derek Clauson, noted that a large number of WAFarmers members had expressed concern and outrage over InterGrain's actions of deducting an EPR for Carnamah wheat.
"InterGrain seems to have shown disregard to grain growers by placing an unjustified cost impost on farmers, and growers are saying they are not prepared to be taken for a ride," said Mr Clauson.
Following the actions by InterGrain and subsequent feedback expressed by members, WAFarmers Grains Section has engaged its solicitors, Kott Gunning Lawyers, to investigate what legal options WAFarmers can undertake on behalf of its members.
"WAFarmers Grains Section has received advice from its solicitors that the EPR deductions for the Carnamah grain, made by InterGrain, from grower's wheat payments are unlawful.
"WAFarmers Grains Section has subsequently resolved to take measures, which may include a class action, to recover grain grower's funds from InterGrain and is urging affected farmers to immediately contact WAFarmers.
"Organisations need to take note that farmers are not there to be taken advantage of and WAFarmers, representing over 4,000 Western Australian farmers, will take whatever action it can to protect and aid its members businesses and lifestyles," concluded Mr Clauson.
