CWB WANTS YOUR DURUM!

[SASKFARMER3]

I have to start doing that.

[smallguy]

You know you guys sometimes amaze me. How can some of you farm the acres you do and still be so dumb!!! As much as I despise the CWB, to cancel your durum contract is the most stupid thing to do. I actually cannot believe that you guys do not know that the CWB will always fill there agreements on there grain sales to there customers. IF THE TONNAGE IS NOT THERE FOR CWB, THEY WILL SIMPLY GO TO THE U.S. FOR DURUM TO BUY TO FILL THERE SALES. Once again the Canadian farmer has helped out the U.S farmer. COME ON GUYS WAKE THE HELL UP!!!!!

[booboo04]

smallguy.... sorry you think I am dumb and stupid.... however I don't think you are stupid just because you are going to supply the CWB with grain at whatever price they will give you, if that works for you then great.

I sold 20,000 bu off-board for $4.00 last January and have about 18,000 bu left. If the CWB will give me only $5 for my durum for the 10/11 year, then I would rather sell it for $4 and get all my money now, or I will keep it until 11/12 and take my chances then. Regardless of any of this, I try to seed as little CWB grains as I can, and will continue to do so until the CWB is gone.

[ProFarmer]

I do not grow durum but you are getting royally screwed by the CWB again. Fixed price of 6.36 an bushel for an 4.50 pocket of todays prices is highway robbery

[smallguy]

You do what you want with your durum. I dont give a dam and either does the CWB. The point is that if you think that by cancelling a contract you are showing the CWB who is boss, you are not. Like I posted earlier the CWB WILL deliver on there grain sales, and yes there first option is to buy it from the U.S. If you do not believe this, take the afternoon to check this out. Then when you find out that this is actually true, let me know who you are really are hurting more, the CWB or the western grain farmer.

[jdepape]

Did you know?
• In 2009-10, the CWB only accepted 52% of the durum crop.
• Total payments received by the CWB wouldn’t even cover cost of production.
• So far in 2010-11, the CWB has already accepted 50% of the durum crop.
• Crop production costs have yet to be covered.
• Even after the current Contract Calls are fulfilled, there will be the equivalent of one full Canadian crop sitting in farmers bins.
• Two years of large deficits on the farm have forced many durum producers to sell last year’s high quality durum into the domestic feed market at much reduced prices.
• The CWB is now scrambling for high quality durum.
• Currently, the Initial Payment is $1.74/bu at the farmgate and you can only sell half.
• The street price in Montana is about $8.77/bu (in Canadian dollars) and they can sell it all.

Is this the deal you wanted?

Read the full story at www.cwbmonitor.blogspot.com

[jdepape]

Second point should read: Total payments received FROM the CWB wouldn’t even cover cost of production.

[bucket]

smallguy

Do you think the cwb is paying 1.77 a bushel to buy it from an american grain point?????

Take a long look at what the cwb is willing to pay and ask why they wouldn't pay the canadian producer the same price up front.

[charliep]

smallguy

Agree with you in the overall scheme of things, pulling the contract doesn't make any difference. The CWB sell what it has and take 100 % delivery of newly contracted "A" series earlier than they might have otherwise. The CWB also knows it will get everyones durum eventually ("B" series, 2011/12, 2012/13, etc.) - they are the only buyer at the end of the day.

Having said, no one is breaking rules. Farmers have until Nov. 1 (stand corrected) to commit which means they can withdraw their contract prior to the deadline. The same rules give the opportunity to review contracted volumes and decide how much they will take by the middle of November. If the CWB accepted the contract at signing, then the argument might be different.

Perhaps my frustration is the lack of effective pricing programs for durum. Feed barley - 6 month pooling with a low cost 100 % EPO. Malt barley - cash plus. Wheat ex durum - fpc related to US futures. Durum - high cost risk management paid for by the farmer that are totally ineffective. If the CWB wants a more effective system that matches deliveries sales, then the CWB (starting with the B. of D.) had better figure out how to include durum price signals into their logistics.

[charliep]

I see your reference is actually to the CWB covering sales with US durum. Would be surprised if this would happen. Would have to go to the CWB but I don't think they can sell other grain to fill a contract. May have to buy out a contract with an accredited exporter/mill.

[charliep]

Perhaps a question to ponder. Should the CWB be allowed to make sales that aren't covered by farmer contracted volumes?

[JDGreen]

small guy apparently you are of the opinion this is hurting you ?? Is that what you are saying?? If you are, what can I do to help you??