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End point royalty increase Wyalkatchem wheat

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Western Australia
October 17, 2007

The Department of Agriculture and Food, Western Australia and the Grains Research and Development Corporation (GRDC) are raising the end point royalty (EPR) for Wyalkatchem wheat to $1.75 a tonne applying from the 2008 harvest.

Department Executive Director Rob Delane said when Wyalkatchem was first released in 2001, an initial low EPR benchmark rate of $1.00/tonne was set.

“Since that time, end point royalties have been aligned more closely to meet the real costs of plant breeding. The EPR rate on most new wheat varieties is now $2.50 to $3.00/tonne,” Mr Delane said.

“The total EPR rate (breeder portion and the variety management fee) will be $1.92/t in Western Australia and $2.00/t for all other States.

“The new rate is still one of the lowest EPR rates in Australia and is well below the rate set for other new wheat varieties,” he said.

Mr Delane said Wyalkatchem continued to provide excellent results for growers, and remained a preferred variety.

“This popular variety makes up nearly 30 per cent of the current Western Australian crop and is expected to account for 25 per cent of the SA crop, based on last year’s production,” he said.

“To ensure Western Australia has wheat breeding programs that provide better varieties as quickly as possible, it is important that revenue from EPRs provides sufficient funding to sustain viable breeding programs.

“The revenue generated from Wyalkatchem will continue to be directed into Western Australia’s wheat breeding program.”

The EPR increase for Wyalkatchem would re-establish an adequate level of funding for the breeding program that has brought varieties like Carnamah, Calingiri, Arrino and Westonia to WA growers.

Mr Delane said Australia’s EPR system was a world leading commercialisation strategy which also underpinned growers’ rights to retain seed and in WA, the enabling of farmer-to-farmer trading.

“The EPR system enables growers and breeding organisations to share the benefits of successful varieties,” he said.

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