Mr Smith was one of the South Australian delegates to the event, along with new SAFF grains committee chairman Michael Schaefer and Balaklava farmer Brett Roberts.

The forum was attended by grower delegates from all states, government representatives, AQIS, Grains Research & Development Corporation and bulk handlers.

Mr Smith said Australia had an opportunity to export to food-hungry nations all around the world and particularly within the Pacific Rim, where food demand was rapidly increasing.

"Grain customers are requiring ever-higher standards for our produce," he said.

"The AQIS Grain Industry Consultative Committee needs to provide a function where exporters and AQIS can resolve such issues as cost-recovery, fumigation, and import requirements of grain customers.

"The grain industry must negotiate chemical residue limits and meet the requirements of importing overseas customers and maintain our precious standards."

In 1986 almost 100 per cent of grain was treated with contact chemicals to control insects. By 1995 the level had dropped to below 20pc and today the levels are minimised through careful management and control measures. "Customers are very specific in their requirements and industry needs to work co-operatively to maintain our already high reputation," he said.

Mr Smith said forum participants agreed there was a need for a coordinated approach to deal with the many issues facing the supply chain, and a need for greater government and private investment in transport infrastructure. He said it was agreed there was also a need for greater transparency and a move toward industry self-regulation.

He said research and development was the cornerstone of the nation's agricultural success.

"Producing food in one of the world's toughest environments has been the challenge for Australia's farmers," he said.