CWB Feed Barley Programs?

[charliep]

I have to admit to being confused by the large number of CWB feed barley programs and payments/prices. Does anyone understand how they work?

I will note the CWB is posting a price/payment of $222/tonne port in their GDC section. This should have your attention is you want to sell feed barley off combine (non livestock intensive areas of the prairies).

[URL="http://www.cwb.ca/public/en/farmers/contracts/guaranteed/"]GDC feed barley[/URL]

Yet we also have a PRO, EPO values that cost premium, a feed barley cash (I think), etc. Why not just have a price that can be compared to the domestic market and be done with it. Or better yet, have the CWB at port/let the trade source barley via tenders.

[charliep]

I quess the CWB GDC (for those that are close to a select elevator) is the feed barley cash plus. You potentially can get a top up.

The CWB also posts a EPO value for feed barley I guess for other areas/farmers with a different perspective on risk.

<a href<"http://www.cwb.ca/db/contracts/ppo/ppo_prices.nsf/epo/epo-wheat-2010-feed-20100923.html"> EPO feed barley</a>

My questions.

Why so programs and complexity?

Are they being used?

How much do they cost to run?

Do they provide value to their farm clients - you?

Why?

[charliep]

[URL="http://www.cwb.ca/db/contracts/ppo/ppo_prices.nsf/epo/epo-wheat-2010-feed-20100923.html"]epo feed barley[/URL]

[wd9]

Charlie, given your education and experience in marketing, you can imagine how the rest of us mortals feel.

[Burbert]

Charley, CW Board, BAD. Open Albertie market GOOD. Follow this principle and your farm will be hearing a huge sucking sound!!!!!!!!!!!!!

[TOM4CWB]

Burbert,

Your hearing must already be weak... the sucking sound has been heard for most of us... since 1993; when Goodale took over from Minister Mayer.

Before this time... the CWB actually was helping most grain growers.

Sadly you do not seem to care that the CWB does not respond to rational market signals, refuses to produce markets it controls with rational transparent international price signals... and continues to serve consumers before grain farmers...

SIMPLY;

BECAUSE -CONSUMERS OF our GRAINS- HAVE A CHOICE of who -from anywhere- they want to buy grain from...

WHILE;
'DESIGNATED AREA' GRAIN GROWERS MUST OBEY THE CWB. OBEY... or go to JAIL, or have their grain confiscated without payment.

The sucking sound is already very loud in my ears now... BURBERT.

[checking]

John Lyons (CWB) said the board is having problems finding enough durum. "We'd like to encourage farmers to deliver durum if they can".

Dear John: Offer me the real price, otherwise what do you really have to encourage me.

[charliep]

Burbert has seen the light and agrees with us. Kinda like the expresssion life may not be perfect but it sure beats the alternative.

[Burbert]

Sooooo, the prices being paid by the CWB for the GPC fer barley are no good. We's should sell on the open market fer a lower price and laugh all the way to the bank causin we's screwin the CWB by not co-operatin. Yeah right I'll do that each and every time jus sos us in Albertie can apper cantankerous and show our distain fer the feds....

[charliep]

Again we agree. The CWB had to develop a program to compete with
the domestic feed market and they have done. The feed barley price
pooling system is dead and has been for a long time. The question was
the complexity of the programs and the fact was done most in secret
until people started asking questions.

Also note that CWB behavior on feed barley is exactly like that of grain
company. Examined the market to find out where feed barley could be
purchased, set the price there and then took profits. There was no offer
to return those profits to farmers until again people highlighted there
was close to $1/bu that couldn't be accounted for in comparing
international prices to local CWB GDC ones. In the past, the CWB took
these profits and used them to put money into the PPO contingency
fund. The future will be interesting.

Strictly a process of conversation. I would bet if you looked at the last
10 years, 95 % of the feed barley you sold was to the domestic feed
market. It is the market in Alberta.

[charliep]

Burbert

You might look at the second paragraph of my post that got this thread going.

[TOM4CWB]

Burbert,

I do NOT get it.
"We's should sell on the open market fer a lower price"

Yet the CWB is keeping up to $1/bu on GDC's and distorting the whole western CDN feed complex lower than it would be if the CWB paid a fair price. THis affects offboard barley, wheat, rye, oats... the whole feed grain complex.

So, Burbert; how is this the duty of the CWB, to keep prices low (for weeks-months longer than when the prices are on the rise... and drop the PRO/ and cash prices like a stone when the market is dropping?