Australian Wool Innovation (AWI) has released the issues paper and timetable for its independent review of the wool selling system on behalf of woolgrowers.

AWI has also named the review panel members and set out a review events timetable, starting with a due date for initial submissions of February 27, 2015.

In a statement today, AWI said a panel discussion paper is due to be released by the end of April next year, a two-day stakeholder workshop will be held in May 2015 and the due date for final submissions is June 2015. The final report is due with AWI in the second half of 2015.

AWI said submissions to the Issues Paper will be placed on the AWI website. However, the right to not make submissions public that are deemed to be inappropriate or not constructive has been reserved by AWI.

Review’s objective is to improve woolgrowers’ returns

The key objective of the Wool Selling Systems Review (WSSR) is to improve the returns that woolgrowers receive for their wool through:

• evaluating whether greater efficiencies and cost savings within the exchange of ownership between the seller and the first buyer are attainable
• understanding the potential for increased competitive tension throughout the wool selling process and how it can be achieved, and
• determining whether there is sufficient transparency within the exchange of ownership to allow woolgrowers to make the most informed commercial decisions about their wool growing enterprise.

Review panel to focus on costs and processes

The WSSR will focus on all the processes and costs that sit within the exchange of ownership from the shearing shed through to shipping. The review will also explore whether selling mechanisms, service providers, and procedures that exist within the current route to market are helping to provide the best returns and improved sustainability for Australian wool producers and the industry.

The review panel selected by the AWI board to drive the WSSR, and provide direction and leadership includes Fox & Lillie managing director James Lillie; Graeme Samuel AC, Monash Business School, Monash University; Bernard Wonder PSM, consultant and director; and William Wilson, director of Australian Investor Relation Services.

AWI said executive chairman of Bell Financial Group, Colin Bell, will provide woolgrower expert resources and Eubindal Pty Ltd director John Roberts will be the executive officer and secretariat for the review panel.

Issues paper outlines review focus

AWI said the review panel has released an Issues Paper to assist individuals and organisations to prepare submissions to the inquiry.

The issues paper outlines the focus of the review, which is to determine if the current exchange of ownership between sellers and buyers provides the best possible competition and subsequent financial returns to the primary wool producers. It will provide recommendations and proposed implementation should areas of improvement or opportunity come to light from the in-depth analysis undertaken in the review.

The issues paper has been designed to disaggregate all the phases within the area of scope to allow targeted submissions, AWI said. But submissions need not be only on matters raised in the issues paper, AWI said, with the review panel wanting information and comment on issues stakeholders consider relevant to the WSSR’s key objectives.

Submissions encouraged on all industry phases

AWI said submissions are encouraged on any, or all, of the six industry phases; wool preparation, delivery and testing, wool appraisal, price realisation, invoicing and payment and export process.

Submissions are encouraged on any, or all, of the above six phases. The review panel also encouraged submissions that do not sit within any of these six phases but still sit within the overall scope of the review, AWI said.

Submissions can be made by:

1. EMAIL to [email protected]. Submissions can be emailed in the form of a Word document, PDF document, or any other standard software package.
2. FAX to (02) 8295 4143
3. POST to Wool Selling Systems Review, Australian Wool Innovation, GPO Box 4177, Sydney NSW 2001