Feed Wheat Guaranteed Delivery Contracts

[charliep]

Looked at the CWB website for current feed wheat guaranteed delivery contracts. Seems to be a pile of them. Are the grain companies doing anything to spruce up these dogs. Some type of a cash price? A subsidized early payment option? A FPC (should be $5/bu by my math)?

Still don't understand how anyone can contract for 70 cents/bushel with an understanding that an adjustment of likely cost to $2/bushel will occur over the next couple of weeks and then wait for potentially another 12 months for further top ups to initials/finals of $2/bu (more knowledgeable Thursday).

[URL="http://www.cwb.ca/public/en/farmers/contracts/guaranteed/#feedwheat"]CWB fd wheat GDC[/URL]

[charliep]

For what it is worth, a 80 % Feed wheat EPO costs $1.09/tonne (3 cents per bushel) and an 90 % EPO costs $5.69/tonne (15 cents/bushel). PRO is Thursday and don't expect an increase
but it is the season of giving. Will review them on Friday.

[URL="http://www.cwb.ca/db/contracts/ppo/ppo_prices.nsf/epo/2010_index.html"]EPO Nov 23[/URL]

[Steve_Winkler]

My hope is to just get delivery!! That way take a chance on the FPC of the day, score the - $5.00/bu. We live very close to a terminal and have signed a GDC for half our wheat. If/when they get room we can haul quite a bit in a day. Absurd to have to jump thru these type of hoops, but not much else of an option unless you want to take 45-60 cents/bu. less.