Cereal (barley) ‘State of Play’ Valuable germplasm not getting to market – Specific regional needs not being met – Public V Private programs Growers do not have any (GRDC?) proprietary ownership of varieties / limits marketing opportunities Growers limited understanding / knowledge of end user needs Potential premium / differentiated markets not being developed

Cereal (barley) ‘State of Play’ (2) Barley falling out of Nth region rotations East Coast malt barley quality not meeting malster needs – Domestic / Export Review of Nth Region Barley Breeding Activity Seed an important ‘delivery system’ of new technology eg., Carlsberg

GRAINSEARCH OVERVIEW Established 2002, 30 growers - $5000/annum, PGG Wrightson (Nickersons) wheat and barley germplasm 2004, Grainsearch coordinate management of own trials, R&D Tax credit, Pork CRC project. 2007, Grower financial contribution ceased 2009, SQP Co-op and Grainsearch merge seed activities

GRAINSEARCH MODEL Evaluate and Commercialise potential germplasm Grainsearch receive seed margin,50% of royalties for activities, margin from premium supply chain products. Seeking to use other grower groups to evaluate and commercialise germplasm in other regions

GRAINSEARCH PARTNERS PGG Wrightson – Nickersons – Wheat Amarok Frelon Teesdale – Barley Ballan GS1234 Westminster

GRAINSEARCH OVERVIEW

GRAINSEARCH PARTNERS Ausgrainz – Long season durum wheats – Winter Wheats Revenue LongReach Plant Breeders – Novel durum, milling and feed wheats Beaufort Malteurop – Malt Barley Fairview

GRAINSEARCH PARTNERS Syngenta Seeds (NewFarm Crops – barley) – Barrett Burston Malting partners. – High value ‘gene pool’ – Leading global malting barley seed company – 2 out of every 3 pints drunk in UK – Syngenta barley – Leading hybrid barley technology – Breeding for Australia for 15 years (Heritage seeds) – Grainsearch > coordinate Importing breeding lines, single row multiplication, S3 & S4 trials, malt evaluation (micro & large scale), seed commercialistion, grain market development.

GRAINSEARCH OVERVIEW

Grainsearch(SFS) Barley Dunkeld Trial 2009

NVT Sth West Vic 2009

AMPS Barley Trials Fairview – Leading variety trials 2008 and 2009 (early and normal) – Very good agronomic type – Large scale test malt underway 2010 Westminster – Equivalent Fairview 2008, 1.0t /ha behind 2009 – Very good agronomic type – Large scale test malt to proceed 2010

GRAINSEARCH – Supply Chain activities Malteurop – Fairview malt barley Targeted 8000t closed loop 2009 > t 2010 – GS1234 potential malt barley Targeted 7000t 2009 > t 2010 – Supported growers quality specs and segregation Barret Burston – Starmalt Large scale malt evaluation trial 2010 > 1200t target Westminster Large scale malt evaluation 2010 > SQP Grain to coordinate purchase and supply to malsters

GRAINSEARCH – Summary Performance of released varieties has delivered Growers an excellent ROI Grainsearch has capability to attract and deliver valuable germplasm to growers in the future – Limited financial resources – other grower groups would strengthen model Grainsearch business model overcoming some of the industry (grower) weaknesses / issues