The GCA board announced last week that it had unanimously agreed to start winding up its activities unless a rescue package was delivered by July 1.

Contrary to earlier media reports, administrators have not been appointed - despite losses of about $356,000 in the past year and forecasts of a further deficit in 2009-10.

In a statement issued by GCA last week while chairman Murray Jones was overseas, it was revealed the winding up process would be carried out over four months.

Mr Jones had said it was a "sad day for the industry".

"I am sure that you are aware of the difficulties many sate and national agricultural representative organisations face due to the ongoing challenges in securing financial sustainability," he said.

"Unfortunately, GCA has not been immune to these problems."

GCA has been in poor health for some years but the oil for food scandal, which embroiled AWB Ltd, and the implications this had for the retention of the single desk was undoubtedly the straw that broke the camel's back.

In early 2007, soon after the release of the Cole Inquiry report, WA Farmers Federation, followed by the NSW Farmers Association, resigned its membership over GCA's policy moves away from supporting the single desk and for apparently not listening to members who wanted to retain it.

* Extract from a full report in Stock Journal, June 18 issue.