Ex Farm Cash Contract

PRODUCT TYPE Grain Contract DESCRIPTION

You sell to Bunge on a Fixed Grade or Multi-Grade Cash contract for grain you store on your farm and may receive a premium due to cost savings. Bunge will manage the freight when we want to collect the grain.

BENEFITS

Allows you to utilise on-farm storage and reduces truck turn around times to make your harvest more efficient. You receive a premium embeded in the contract price due to lower cost port logistical pathway. You may also be able to benefit from back haulings loads such as fertilizers.

RISKS

  • Price: Fixes price to reduce risk
  • Quality: Depends on whether your contract is Multi-Grade or Fixed Grade (refer to Multi-Grade and Fixed Grade Fact Sheets)
  • Production: Contract is deliverable, so some production risk (depending on your own commitments and circumstances)
  • Payment: Covered by Bunge

 

WHAT YOU HAVE TO DO

  • Contact Bunge to sell and quote your NGR number. Once agreed on the phone or email you have locked in a contract to Bunge.
  • Bunge will send written contract terms and conditions to you by email.
  • You manage the grain quality while it is in storage.
  • Bunge will notify you when we need to pick-up your grain from your farm.

 

OTHER POINTS

  • Contract is deliverable.
  • Buyers Call Condition – Bunge will notify you when you must deliver grain against your contract. This is a condition of the contract.
  • Subject to Buyers Call condition Bunge may agree to pay you a monthly “carry” premium for an agreed period of time.
  • Ex-Farm grain must still meet the relevant receival standards for that season.
COMMODITY Wheat, Barley, Oats & Canola
QUALITY Fixed or Multigrade
TITLE TRANSFER
POINT*
Ex-Farm
TIMING Pre-Harvest, Harvest & Post-Harvest
PAYMENT TERMS 100% 14 Days EOW*
FORWARD/SPOT Both Available
DELIVERY PERIOD Harvest: Dec/Jan
Post-Harvest: Spot
or by negotation
LEVIES Deducted by Bunge
FREIGHT & RECEIVAL
DEDUCTIONS
Refer to Title Transfer
Table
QUALITY
OPTIMISATION
No, but you will have benefited from the lower cost pathway to port
GRAIN STORAGE BAGS
Refer to Title Transfer Table
Utilise your own or available from Bunge

*End of week of delivery