With the $1.38 LDP currently in place in the US for durum, is there the possibility that US farmers could swing their spring wheat acres over to durum next spring?
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It sure is hard to deliver a convincing argument to counter how much worse off farmers would be without the CWB monopoly. With no alternative marketing strategies; except non-starters like CWB buybacks; producing feed quality grains etc.; your options are all at the low end.
I am told that high protein US wheat now commands a couple of bucks extra premium. I also know that a couple of years ago durum at US delivery points was considerably more than CWB prices. Those differences can and do and have lastest for months at a time; not that it is significant since the CWB makes sure that farmers couldn't possibly capture those opportunities.
Somebody tell me that organic farmers and seed growers live under those same onerous restrictions, and if not then how do they possibly survive.
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Oneoff,
Seedgrowers are out of the monopoly, but not organic growers. So what happens is that US growers have free access to new varieties that prairie producers have helped pay to develop. The US growers are then free to sell into all markets, including Canada. Same advantage for eastern growers.
On the other hand, the CWB has never chosen to let out organic. However, a few years ago, the regular buy-back costs were so high, it made the CWB look bad, so they now have a buy-back scheme whereby the selling-back to the organic grower is pre-set. Of course the CWB arbitrarly sets the cost and so far, have only increased it once.
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I will start with.
The CWB in setting their April PRO at
2 CWAD 11.5 269.00 tonne or 7.32 bu. vs March at 284.00 7.73
Do your own freight and deductions
http://cwb.ca/dom/db/contracts/pool_return/pro.nsf/WebPRPub/2009_20090423.html?OpenDocument&CropYr=2009-10
I'll use $61.00 to get $268.00 net or $7.29 bu and a 30 bu acre yield (our budgeted yield) to get a gross of around $218.00 an acre.
Not to bad, a signal to grow Durum.
vs all other cereals for and to net a few dollars an acre.
I will save you the work but Mays PRO was higher 278.00 tonne or $7.57 bu.
The people who sets the PRO's should be called to the floor to explain their actions.to the WESTERN farmers who pay the bills.
The BOD who accepted the advice of management will have to change policy's to prevent this type of debacle from happening again.
If your going to argue the points remember to show your work.
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I agree it would be nice to see how the powers to be come up with pro numbers IE: world prices etc. What our compeditors are selling for.
Also the reasoning why it takes so long for the gov. to aprove interm payments. What is the issues they have to debate for weeks to see if we should get our money after the CWB recomends increase.
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gustgd the agriweek coment is relevent because the majority of farmers don't give a *#* WWGA or Farmers for just me say or do.
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AGRIWEEK has been around since 1967. The Canadian agricultural community is a small one at best and always has been. For a subscriber only publication to be around for all this time and still be going strong after all these years says a lot. More people read it than stubble would care to admit.
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Stubblejumper
I received almost 40% of the votes cast in District 6. therefore I believe I represent many farmers opinions on the CWB.
The WCWGA is deemed credible by much of the farm media because we are constantly being quoted and do many interviews a week all over Canada. As well the 40 year history shows that support runs deep and multi-generational.
Every time we as directors of a VOLUNTARY farm organization make statements we are subject to criticism or praise for the points we make and how we make them.
As far as Agriweeks credibility it speaks for its self by Morris's longevity.
LWeber occasionally makes the same comments in his daily newsletter, available to almost every farmer with a relationship with BASF.
By Stubblejumpers argument this is more credible because it is more widely read. Same arguments
Again I say "Show your work"
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Re: Organic buy-back scheme
Technically you could say that organic is under the CWB; but since the cost of a few cents a bushel probably doesn't much more than cover the costs of the paperwork; as organic producers you have a reasonable way out. I'd be happy to see such a system for conventional farmers; and would have an opportunity to have additional choices.............
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Oneoff,
I don't understand why you choose to pay and sell and buy from the CWB, rather than to directly sell for free.
Consider it this way, organic and conventional are both in jail, but seed growers are not. You consider organic inmates are treated better and that's what you want? Do you deserve to be in jail?
Napoleon understood when he said: "Liberty is a necessity felt only by a not very numerous class. It can therefore be restricted with impunity. Equality on the other hand pleases the multitude."
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I prefer to look at the big picture. Losing pennies is insignificant; if you gain the chance to do something else that really makes a difference.
We're not really making much headway persuing things the way they have been tried in the past several ways.
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Oneoff, I don't see what is new in your approach. A few years ago, conventional farmers complained about organic farmers getting cheap buy-backs. The result? The CWB increased the organic price.
The CWB will not let you out of the monopoly for pennies. If you want freedom, at least ask the CWB Minister who claims to want to let you out. The government has the authority to give you an export licence. Have you asked him?
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