The Australian Competition and Consumer Commission (ACCC) said it had not been given enough time or information to assess the deal after being notified of Qube's purchase of the bulk grain hub.

Qube completed the transaction on September 30 despite requests from the ACCC to delay completion of the deal after competition concerns were raised by market participants.

"Our investigation will focus on the impact of the acquisition on the supply chain for bulk grain export through the Port of Newcastle, and the ability and incentive for Qube to discriminate against rivals," ACCC Chair Rod Sims said.

"It is worrying when a major vertically integrated player pays $90 million for key infrastructure used for the export of agricultural products without first obtaining the ACCC's view on whether the proposed acquisition is likely to have the effect of substantially lessening competition."

Qube said last month that the acquisition would allow it to extend its footprint into northern NSW, one of the world's most productive grain producing regions.

The company already owns sites at Coonamble and Narromine, and the Quattro bulk terminal at Port Kembla.

Qube Holdings' managing director Paul Digney said the acquisition would further strengthen Qube Agri's export bulk service offering to growers and traders by providing them with the ability to ship directly from Newcastle.

Mr Sims said that by choosing to proceed before the competition watchdog had had a chance to review the deal Qube and Newcastle Agri Terminal had exposed themselves to potential legal action by the ACCC.

A spokeswoman for Qube said the company was disappointed that the ACCC has chosen to pursue the inquiry.

"Qube advised the ACCC of the transaction in early September. Qube has also worked closely and constructively with the ACCC's grain monitoring unit over a number of years. However, the commercial arrangements between the parties did not allow for any further delay in completion of the transaction," she said.

"Qube believes the transaction does not raise material competition issues, however, we will continue to provide every assistance to the commission to allow it to complete its inquiries."

"The Newcastle Agri Terminal is a world class grain export facility.The acquisition provides Qube with geographical diversity and enhanced service capability to service traders and grain exporters in the Newcastle market."

Newcastle Agri Terminal co-founder Jock Carter said he was not concerned about the ACCC investigation.

"Qube will bring a lot more competition to this space," he said.

"One of the issues we had as an independent was we didn't have access to rail. It's very hard to compete when your competition is completely vertically integrated. Qube will be much better placed to compete with Graincorp than we are."

The ACCC has invited submissions from market participants who may have concerns about the acquisition or wish to share information about the market.

A spokeswoman for GrainCorp said the company was unable to comment on matters that were the subject of an investigation by the ACCC.

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