Grain Growers Question Ship Purchases
Written by Kelvin Heppner
Monday, 14 February 2011
The Canadian Wheat Board has raised some eyebrows by purchasing two lake freighters.
With the Canadian Wheat Board announcing the purchase of two ships, the Grain Growers of Canada are calling for some discussion on the role and future of the CWB.
"The Wheat Board is starting to acquire assets, and they've also asked the government if they can take over responsibility for interim and final payments, so we would applaud the Wheat Board for moving forward and being a much more business-oriented organization in that way," says Richard Phillips, Executive Director of the Grain Growers. "But then you have to ask yourself who actually owns the Wheat Board, and who actually owns these assets, because technically, it's still a quasi-agency of the government."
He says now is the time for a discussion involving the CWB, the Federal Agriculture Minister's office and the Grain Growers to discuss what the Board needs to look like going forward.
"If the goal is to have farmer ownership of the Board and these assets, then is it a new generation co-op? Are there shares issued like what was done for some of the co-operative grain companies? What sort of model is the Wheat Board going to have going forward that would have the farmer ownership in it so there are some clear lines of responsibility and control," he says.
"The Wheat Board is buying assets, but who actually owns the Wheat Board? I'm asking that question. Without any share structure to it or any new generation co-op type shares to it, arguably it's the Government of Canada that owns it," says Phillips. "They had a vision a number of years ago where they would get more into transportation, maybe farm supply businesses, if that's where they want to go, then it needs to separate itself from the Government of Canada."
Interesting.
Written by Kelvin Heppner
Monday, 14 February 2011
The Canadian Wheat Board has raised some eyebrows by purchasing two lake freighters.
With the Canadian Wheat Board announcing the purchase of two ships, the Grain Growers of Canada are calling for some discussion on the role and future of the CWB.
"The Wheat Board is starting to acquire assets, and they've also asked the government if they can take over responsibility for interim and final payments, so we would applaud the Wheat Board for moving forward and being a much more business-oriented organization in that way," says Richard Phillips, Executive Director of the Grain Growers. "But then you have to ask yourself who actually owns the Wheat Board, and who actually owns these assets, because technically, it's still a quasi-agency of the government."
He says now is the time for a discussion involving the CWB, the Federal Agriculture Minister's office and the Grain Growers to discuss what the Board needs to look like going forward.
"If the goal is to have farmer ownership of the Board and these assets, then is it a new generation co-op? Are there shares issued like what was done for some of the co-operative grain companies? What sort of model is the Wheat Board going to have going forward that would have the farmer ownership in it so there are some clear lines of responsibility and control," he says.
"The Wheat Board is buying assets, but who actually owns the Wheat Board? I'm asking that question. Without any share structure to it or any new generation co-op type shares to it, arguably it's the Government of Canada that owns it," says Phillips. "They had a vision a number of years ago where they would get more into transportation, maybe farm supply businesses, if that's where they want to go, then it needs to separate itself from the Government of Canada."
Interesting.
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