TREASURER Joe Hockey has delayed making a decision on Archer Daniel Midland’s proposed acquisition of GrainCorp until December.
Mr Hockey signed an interim order on Friday to extend the time for a decision.
“The interim order provides certainty to all parties by ensuring that a decision will be made by December 17,” he said.
He said the move would allow time for the new Federal Government to consider all the relevant issues and advice from the Foreign Investment Review Board.
“GrainCorp is a significant Australian company involved in grain marketing, processing, storage and transport,” he said.
“Given the size of this transaction and the complex nature of the issues involved, I have decided to extend the statutory time period.”
Victorian Farmers Federation grains group president Brett Hosking said Archer Daniels Midland would control 90 per cent of Australia’s east coast grain export handling infrastructure if the deal was approved.
“An ADM takeover delivers very little new investment – it simply hands essential ports and other grain network infrastructure into foreign hands,” he said.
“For these reasons and more we are appealing to the Treasurer to deny the purchase.
“An ADM takeover is not in the interest of grain growers or the nation as a whole.”