Fed: Aust team heads to Iraq to secure wheat deal

AAP General News (Australia)
02-16-2006
Fed: Aust team heads to Iraq to secure wheat deal

CANBERRA, Feb 16 AAP - An Australian team led by Deputy Prime Minister Mark Vaile is
heading to Iraq to save a multi-million dollar wheat export contract.

The Iraq Grain Board has suspended dealings with wheat exporter AWB until the outcome
of the Cole inquiry into kickbacks to former dictator Saddam Hussein.

Australian growers fear a one million-tonne tender of wheat could go to American farmers.

Prime Minister John Howard has backed his deputy, despite Mr Vaile being under sustained
pressure for a fortnight over when the government first knew about allegations AWB had
paid $300 million in kickbacks to Saddam Hussein's regime.

Mr Howard has also raised the possibility of AWB voluntarily giving up its veto of
exports of bulk quantities of wheat if the Iraqis continued to refuse to deal with the
organisation.

But the AWB says such a move would only be used as a last resort and it is confident
the delegation will find a way through the impasse.

Opposition Leader Kim Beazley says Mr Vaile has presided over Australia's worst scandal.

The Cole inquiry will sit in Sydney today.

AAP pjo/evt

KEYWORD: AWB DAYLEAD

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