CWB Feed Barley Program

[lakenheath]

Phoned the CWB today to get details on the feed barley program. They basically told me to phone around and find out the information myself. I told them that my local elevators are not participating because the 56 car tender was too high for our area. They would not tell me who I could phone or a list of elevators participating. What a joke! Another CWB programmed completely flawed! If you want to participate in these oversees prices you have to be in a feed barley growing area. I farm near Assiniboia, SK and it looks like I won't be able to participate in a good price that is finally being offered by the CWB.

[charliep]

Could you load a producer car? I suspect a fly in the ointment will be the business is likely being done out of Prince Rupert and more likely than not CN - not CP.

[charliep]

Are there more tenders for export feed barley? What price (or perhap down payment)?

I note makes more sense to haul directly to Lethbridge/Brooks. Current price Lethbridge $3.60 ish/bu landed feedlot minus trucking to your farm.

[tipsy]

Just my 2 cents, but from what limited knowledge I have of this new program and from what I've have heard, sounds like the cwb is holding a fair chunk of money back. Would it be worth while holding back from offering this barley in hopes the cwb would anti-up more monies? Coarse down side is some producers could fill this now in hopes borg will anti-up later!

[rodb]

Our contract was fianlly filled yesterday at $3.50 FOB Olds. Viterra at Crossfield was offering $3.70 at Carstairs. Don't know whether there is more to come as it took a long time for the first to get accepted.

[charliep]

tipsy

The CWB will only make these sales if a grain company can show grain pricing order commitments by farmers and therefore contracted volumes. This is what rodb has highlighted and Canada-Goose in a previous series of threads. When the opportunities stop, so will the CWB.

I also suspect that Europe will get more aggressive on these sales and the opportunity will pass. The EU has a significant amount of barley in intervention stocks and they have started releasing into the market. May also have their own feed wheat to sell.

I suspect the play through the winter will be the domestic market - a very tight Canadian barley S&D. As highlighted by several others, the domestic livestock industry has not stepped up to the plate in terms of their buying. This will change late fall/winter realizing the feed wheat question remains to be answered. No one will have access to cheap corn or distillers grains for that matter. Was told the current of DDG is $190 ish/tonne versus $160 ish during the summer.

[charliep]

Realizing that camels don't eat oil, it interesting to look at the environmental footprint of Saudi barley business.

Saudi Arabia sends to oil to US. Some is put in tractors to grow US corn. US corn is shipped north to Canada to feed cattle/pigs. Canadian feed barley is shipped to the middle east to feed camels. Perhaps keeping grain at home and using to produce ethanol makes sense.

Off topic. Sorry.

[tipsy]

Gotcha, I was on the assumption that these sales were confirmed and completed, barley to be sourced and supplied..