CBH Group: A co-operative giant

CBH Group is Australia’s largest co-operative by turnover. Westralian Farmers Ltd., then a co-operative and now Wesfarmers, played a role in launching CBH Group, which built new grain elevators at stations to reduce the costs of handling during the Great Depression, in 1933.

CBH Group’s member farmers

Prior to bulk handling bags of wheat were manually loaded onto trains. The Western Australian Parliament passed legislation in 1935 that gave CBH Group the sole right to handle, transport and deliver bulk wheat in WA. By the 1939-40 wheat season 95 per cent of WA wheat was co-operatively handled, with CBH Group being appointed the WA receiving agent for the Australian Wheat Board.

The Westralian Farmers handed over CBH Group to wheat growers in December 1943 after the initial costs of establishing the bulk handling system had been recovered by a toll on wheat growers’ deliveries. The strong co-operative identity among wheat farmers and their communities prevented the demutualisation of CBH Group in 2000.

Despite the concerns of those supporting demutualisation, CBH Group continued to grow as a co-operative, merging with The Grain Pool of WA in November 2002, with a revenue of A$3,550 million by 2009. With over 100 receival sites for grain and over 4 port terminals, CBH Group plays a crucial role in developing WA rail infrastructure by deciding in 2010 to purchase its own fleet of locomotives and rolling stock to transport grain.

CBH Group supports local grain-growing communities in WA through buying local where possible, providing a local water supply in several communities and a Community Investment Fund, which supports a range of local initiatives, including sporting activities and scholarships. The Fund also supports the Flying Doctor Service in WA.

Community investment: CBH Group
Community investment: CBH Group

CBH Group in 2024 had approximately 3,500 grower members, over 1,400 employees and a turnover of $4.5 billion. CBH Group provided 26 per cent of Australia bulk grain exports and paid $2.9 billion to grain growers for their grain.

For further details please download Greg Patmore, Nikola Balnave and Olivera Marjanovic, A History of Australian Co-operatives 1828-2023.

Testing the grain at CBH