Goodbye Board
Some people think grain farmers would be better off without the Wheat Board.
Others think we can have a Wheat Board that is not a single desk seller. They believe a CWB without inland elevators, terminal elevators at port or any capital can compete by asking its competitors to handle grain it has a sale for.
They are really saying the CWB should establish a price, which they and their friends can undercut to compete for sales.
This idea has just been tried in Australia. Find out why it failed by going to: (Link to: Notes on the Loss of the Australian Wheat Board Single Desk)
It has also been tried in Canada several times. Remember what happened when oats was removed from the CWB? A Look back at the Oat Debacle: (Link to: Oat Debacle)
Of course realistic politicians understand that in commodity markets single desks, like the CWB, benefit the producers of the commodity. As Saskatchewan Premier Brad Wall recently observed, ending the single desk in potash would make Saskatchewan “transition from being price leaders to price takers.” (Link to: Single Desk Good for Potash - Why Not Grain?)
Some people think grain farmers would be better off without the Wheat Board.
Others think we can have a Wheat Board that is not a single desk seller. They believe a CWB without inland elevators, terminal elevators at port or any capital can compete by asking its competitors to handle grain it has a sale for.
They are really saying the CWB should establish a price, which they and their friends can undercut to compete for sales.
This idea has just been tried in Australia. Find out why it failed by going to: (Link to: Notes on the Loss of the Australian Wheat Board Single Desk)
It has also been tried in Canada several times. Remember what happened when oats was removed from the CWB? A Look back at the Oat Debacle: (Link to: Oat Debacle)
Of course realistic politicians understand that in commodity markets single desks, like the CWB, benefit the producers of the commodity. As Saskatchewan Premier Brad Wall recently observed, ending the single desk in potash would make Saskatchewan “transition from being price leaders to price takers.” (Link to: Single Desk Good for Potash - Why Not Grain?)
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