Pricing durum in 11/12 crop year

[newguy]

People were getting phone calls today from the CWB saying they could price their #1 durum into next crop year with no charge. What's up??

[jethro456]

New GDC from the board. They are short of #1
duram so you can deliver now and price into
2011/2012 crop year free of charge. Only works
for #1

[newguy]

Is this #1 durum already contracted to this year or is it non contracted grain?

[bucket]

If I understand from the conversation with the cwb. If you haven't delivered you can pull tonnes from the b series to the gdc. If you move it to new crop you get no initial until aug 1. Technically your farm is financing the sale.

This allows the cwb to lower the pro by 70 bucks a tonne and still say farmers are just as well off.

They could have came out with a gdc with a 9.50 price netting a farmer 8 bucks and out of the pool.

Where are all the cwb supporters when it is time to fill a boat? The cwb will end up paying demurrage on durum that was grown in 2009.

The cwb is short durum. They can't figure out why farmers won't deliver.

[Farm_for_fun]

I talked to our rep today and any A or B series contacts can be rolled into a GDC for no fee. It would have been nice to know this a month ago. Thanks again CWB.

[$short]

The CWB is short high quality durum. They screwed up the 09-10 pool when they sold too much atthe start of the pool year when the prime durum growing region of western canada flooded out. They also assumed that the large carryover from the the 08-09 year would roll into the new crop year. This never happened because sales were made too cheap and farmers have decided to hold for another year. This brings up a question. Why can't the board offer a shorter pooling period. For example over a 3 month period rather than an entire year? Too many things can happen to distort prices in a year thus forcing good quality durum to sit for another entire year when the demand for durum was paying up to $10.50/bus. Doesn't make any sense to me....on the other hand.....they could just get out of the way all together!

[bucket]

Yeah,the cwb could come out with a gdc and a price attached not linked to the pool. EXCEPT the cwb sold too much, too low, and can't figure something out that will make the farmers money.

Some marketers they are.

They are looking for the 09 crop, that is the sad part of the story.

[newguy]

I said there should be 3 or 4 pools a year 8 months ago on this site,. Too much overlap. And nothing like changing rules in the middle of the crop year. Shorter pools would make it so the CWB could get rid of all these complicated programs.