The Federal Opposition has labelled the Government's decision to reject the sale of GrainCorp to American agribusiness Archer Daniels Midland as "weak" and "pathetic". Announcing the decision this morning to reject ADM's $3.4 billion bid for the eastern grain handler, Federal Treasurer Joe Hockey said he had to take into account the national interest. "I consider that now is not the right time for a 100 per cent foreign acquisition of this key Australian business," he said, adding that it "could risk undermining public support for the foreign investment regime and ongoing foreign investment more generally". The proposed sale of GrainCorp had represented an early test of unity for the new Coalition Government, being strongly opposed by grower groups, the National Party and some country Liberal MPs in the eastern states. Opposition treasury spokesman Chris Bowen said Mr Hockey had failed his first big credibility test as Treasurer, and suggested he had been "bullied" by his Coalition partners and Cabinet colleagues into rejecting ADM's bid, with profound consequences. More » |
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