WEST PERTH, AUSTRALIA — CBH Grain has received strong demand from Western Australian wheat, canola and barley growers for its new pre-pay advantage product which closed on Oct. 31.

The pre-pay advantage product offers growers cash upfront in return for a commitment of grain; growers can receive funds prior to harvest and decide to sell their grain to pool or cash options at a later date.

CBH Grain Head of Accumulations Richard Simonaitis said pre-pay advantage was trialed last year and there have since been a few changes to simplify and improve the application process.

“A highlight for this year was the introduction of an online application service via LoadNet,” Simonaitis said.

He said pre-pay advantage has been well supported and has been of value to growers.

“It was pleasing to see the amount of interest in the product from growers and agricultural industry professionals, together with the positive feedback on the ease of application, processing times and access to funds at a competitive interest rate,” Simonaitis said.

“Essentially, pre-pay advantage offers growers an alternative for cash flow requirements in return for commitment of grain, and provides growers with a formal avenue to request and access funds outside of the normal payment schedules offered in existing products.

“Repayments are hassle free as the facility is automatically repaid once grain is nominated to CBH Grain at harvest.”

The product offers a competitive interest rate and no application fees apply. Growers will have access to their pre-pay facility to use as required up until April 30, 2012 or until they nominate grain to CBH Grain.