Fengrain, the farmer-controlled grain marketing business based in March, Cambridgeshire, has been appointed grain marketing agents for Grainmarque Ltd, a similar business based at Epping in Essex with effect from 1 August, 2003.

Under the agreement, Grainmarque will retain its own identity as a producer group, but it is the aim of both Boards to work towards the formation of a single company in due course. The arrangement will allow the Grainmarque members access to the shipping and storage facilities of Fengrain and Camgrain and will bring the tonnage of grain marketed annually by Fengrain up to 750,000 tonnes. This arrangement will also mean that Fengrain will be acting as grain marketing agents on behalf of over 1000 farmer members.

"The grain business is highly competitive and Fengrain has a very good record for quality service and good returns. We are extremely pleased that the Directors of Grainmarque have chosen us to be their new partners and we look forward to working with them." says John Heading, Chairman of Fengrain.

"The Grainmarque Directors are delighted to appoint Fengrain as marketing agent and are confident that it will be a successful joint venture and will act as a catalyst to bring other East Anglian grain marketing groups together." Mark Collins, Chairman of Grainmarque.

"The arrangement is a very logical development due to the geographics of both businesses and the commonality of customers. It is good news for the members of both companies – the 172 Grainmarque members will benefit from increased marketing opportunities, including the shipping and storage facilities of Fengrain and Camgrain, whilst the 570 Fengrain members and the 271 Camgrain members will benefit from reduced marketing charges, due to the economies of scale." comments Chris Barnes, Chief Executive of Fengrain.