The current indicative QSL Advance payment programs for the 2020 Seasons are reported below.
The programs are based on estimates of returns for all QSL-managed pools and pricing platforms for raw sugar supplied for the respective seasons under the Raw Sugar Supply Agreement (RSSA), On-Supply Agreements (OSAs) and Grower Economic Interest Sugar Supply Agreements. Under the programs, suppliers are paid a proportional amount of QSL’s then-current estimate of the forecast final weighted average pool price the Supplier will receive for raw sugar supplied under these agreements (with some exceptions).
The Advances programs below are indicative only in their entirety and may change during the course of the season, and so should not be taken as a commitment by QSL with regard to either the advance rate or date of increase. The QSL Board reviews the programs periodically to determine whether scheduled increases to the programs should be approved or amended, weighing factors such as movements in the marketing and shipping plans, sugar price and currency movements and the timing of cash flows. Suppliers’ positions in relation to any pricing elections may also impact the timing and size of Advance payments.
2020-SEASON INDICATIVE ADVANCES PROGRAM
Based on an estimated combined QSL Harvest and US Quota pool value of $393/t IPS as of 15 May 2020.**
Shaded fields are yet to be approved and may be still be altered at the QSL Board’s discretion. An AUD/tonne rate will be advised once results for September have been finalised.
* May differ from your actual payment date due to local milling arrangements and bank processing times.
** This figure is an estimate only for the default QSL pricing position of 97.3% Harvest Pool + 2.7% US Quota Pool based on pool values as at the date specified. Please note that the pool values used to calculate the default payment will change as the season progresses. The default payment figure incorporates an average Shared Pool allocation. The actual Shared Pool allocation applied to grower payments will vary in each region due to regional costs (regional Shared Pool details are available at www.qsl.com.au). The estimated payment figure quoted also does not include any applicable Loyalty Bonus, GST, allowances, deductions or any other adjustments incurred by the grower or passed on by their miller.
ACCELERATED ADVANCES - 2020 SEASON
An Accelerated Advances Program is also available for participants in the 2020 Target Price Contract, Individual Futures Contract and February 2020 Guaranteed Floor Pool, whereby they can elect to receive 90% of that product’s indicative pool value by December 2020. Under this scheme, Advance rates paid for tonnages in these products would remain at 90% from December 2020, reverting to the QSL Standard Advance Rate from the May 2021 payment.