Grains marketer and maltster GrainCorp has set up a joint venture in Canada to give it more sources from which to draw grain.
GrainCorp and Japan's Zen-Noh Grain Corporation plan to operate grain receival sites across Alberta and Saskatchewan.
The sites will be part of a supply chain for the origination, marketing, storage, handling and export of Canadian grain and oilseed.
GrainCorp will have a 50 per cent stake in the joint venture.
"A key part of GrainCorp's value proposition for international customers is to have a multi-origin offering, so that we are in a position to offer a solution for a broader range of requirements," GrainCorp chief executive Mark Palmquist said on Monday.
"This gives us greater relevance and a broader platform to engage with the customer, creating more opportunities to offer our services."
GrainCorp will contribute $CAN30 million ($A30.5 million) over the next two years towards the construction and commissioning of the grain receival sites while the joint venture will seek additional funding from financial institutions of $CAN60 million.
Construction will take place in stages from the second half of fiscal 2016 to the end of fiscal 2018.
Talks have started on gaining rail and port access for the joint venture.
Zen-Noh Grain Corporation, a subsidiary of Japanese agricultural co-operative Zen-Noh, one of the largest agricultural co-operative organisations in the world with 1,011 members.
Shares in GrainCorp were seven cents lower at $7.90.
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