The igrainX platform enables growers, traders, and consumers to buy and sell grain stored on-farm and in warehousing. Photo: CGX

AUSTRALIA’S s independent and secure Clear Grain Exchange (CGX) has recently launched a new electronic market for grain stored on-farm.

Rebranded as igrainX, it expands the CGX ecosystem, enabling growers, grower agents, and buyers across Australia to trade grain stored on-farm as well as in warehousing with minimal risk.

The launch of igrainX follows CGX’s acquisition of the igrain business in July 2023 that facilitated trade of grain on an ex-farm and delivered basis.

The augmented platform was developed over much of last year, and went live on February 7.

More depth for buyers, sellers

The igrainX platform is accessed via a CGX users online account, and enables growers to set offers for their grain either stored on-farm or in bulk-handler warehousing.

All buyers can see grain offered for sale, and can actively bid to try and secure it in a live and firm market.

Grain sold on igrainX is transacted through CGX’s secure settlement and payments service.

In the case of ex-farm grain contracts through igrainX, growers are protected by credit insurance, and through CGX invoicing buyers and collecting payments on their behalf.

CGX managing director Nathan Cattle.

CGX managing director Nathan Cattle said igrainX was a natural extension of CGX services to Australian grain growers and industry.

“We’ve had positive feedback regarding igrainX from growers and industry since launch,” Mr Cattle said.

“Our aim is to improve farm-gate returns by creating more efficient markets where all supply chain participants benefit.”

For growers, Mr Cattle said that meant accessing a market with greater depth, while buyers were able to tap into a wider supply network with deeper visibility about prices sought by growers.

“It’s a scenario that creates value for industry, as evidenced by more than 10,000 growers using CGX to sell their warehoused grain to date, and more than 400 buyers registered.

“Regular feedback from users has been for us to help transact grain stored on-farm and create a more efficient market where growers have a say in the price of their grain, similar to the role CGX has played for warehoused grain.”

Independent platform

CGX is not a buyer or seller of Australian grain, and nor does it advise on grain marketing, and has positioned itself as an independent technology business.

Bids and offers in igrainX are firm and anonymous, and trade on a first-in-first-out basis during the same market hours as CGX.

Counterparty insurance through igrainX Insure covers all offers and resulting grower grain sales, enabling offers to be firm and attracting as many buyers as possible.

CGX settles igrainX trades, invoices the buyer, collects payment, and pays the grower minus legislated deductions such as levies and end-point royalties.

Source: CGX