The CWB in an Open Market

[agstar77]

60-80 per ton , must be new math or a bad calculator.

[$short]

I think the CGC will see as many changes as the CWB. The grain company will own the grain now and it will be up to them to negotiate with the buyer. It will be all their risk so what will the CGC have to do with it.

Right now the CWB relies on CGC inspections to settle grades between them and the Grainco. I think we will see a whole new grading system in a non-CWB world.

[TOM4CWB]

$short,

Your words written here on grading...were spoken to me today... almost exactly.

I indicated we needed the 'Clear' type payment system like the Ausies have put in place...Optional clearing house with storage options.

Was indicated that because of recent new international ownership developments... we could very likely work these risk management tools into our new optional marketing system.

Very impressed with the awareness of CWB sabotage politics... they are putting together an astute change package; all indicators I found.

PM Harper mentioned the Wheat Board tonight in his Convention presentation... indicating his full backing to CWB Minister Ritz and Secretary Anderson on this project.

I am very impressed and positive that they have learned much from past CWB fiascos.

Great Day here in Ottawa... and Vancouver won to top it off!!!

You have just got to love being a Canadian Conservative on June 10th 2011... the best country in the world... with A PM that truly cares about families, our younger generation... and the future of Canada!

God Bless Canada!

"The best is yet to come!" PM Harper

[wmoebis]

I think you are right $short.

What is your vision on what it will look like?

Others?

[$short]

Well Tom, I'm not in Ottawa this week so it's good to see I'm not the only one thinking this way!

What does the CWB use for grading guidelines when it is making sales now? I would think the "specs" for the grain will vary from customer to customer. Some customers want protein, others want high falling number, others want high bushel weight etc.

It basically comes down to price in the end and what the customer thinks he can use at a certain price level. We will see this more in the country now without the CWB as the middleman.

Several years ago I heard a presentation at a conference from a fellow who worked at one of the port terminals. He let it slip that he recieves approx 60 different "grades" of wheat but only ships 15. I would assume this will back out into the country elevators now.

Who knows.....?

[charliep]

I suspect issues like current CGC grades and protein will remain in place. The world today is the 60 grade/quality specifications (mainly visual but some things like protein) are impractical to keep segregated in the elevator system. You likely know more than I do the number of bins in a 40,000 high through put elevator and from there terminal. Things have to be blended down to 15 general types.

The CWB works with grain companies (ultimately they know what is in their elevator) and the CGC (perhaps private sector companies like SGS) to meet customer contract specifications above normal grades. Sampling at truck unload and understanding general areas of certain quality characturistics allow this to happen.

So what happens when there are no initial payments/need to segregate to 60 categories and the real world says it is only 15? I think you will get better and more realistic price signals. I also think farmers will have better ability and incentive to really know the quality characturistics of the grain they have in bin including things like falling number and markiet them accordingly. I know someone will tell how farmers will get taken advantage of but what will be different than today. Is there any incentive to market grain at anymore than CGC specifications? If you deliver the higher end quality specification, do you enjoy the benefit or is it shared with your neighbor who delivers the lower end? You could be the one delivering the lower end by the way. The US deals with this by paying for quality at unload based on their grids for things like falling number.

For those who worry about no grades, grading is a CGC responsibility under the Canada Grains Act. Changes to CGC may impact this but not a CWB issue.

[Hopperbin]

I am against the cwb owning assets in the new world cause wouldn't that be the altimate screw job if the cwb with gov money bought up say vitera? Think about it, just think about it.

[TOM4CWB]

Charlie,

The CGC grades are a farce today. The CWB shipped a Canada Feed milling unit train to the US. Spec WAs 13px and falling number over 300. It had to be CWRS.

It is enough to make any wheat grower grate their teeth on a rasp.

That wheat was worth DOUBLE what the CWB paid for it. And the growers of that wheat bearly made cost on what they got paid.

THIS IS CRIMINAL. THE CWB is robbing us... and many many growers found out this year just how badly.

The end of the 'single desk' can NOT come soon enough.

Minister Ritz knows this. PM Harper is aware of our dilema. This is as bad as the 1993-5 fusarium great wheat rip off in Manitoba.

Chairman OBERG KNOWS the 'single desk' is done. Like Christmas Dinner.

Those left wing communists bought at least 2 too many ships... and wanted to pad the holds with our blood sweat and tears!!!

God Bless Canada!

As PM Harper said: 'The best is yet to come.' We now have a STRONG, STABLE, COSERVATIVE, MAJORITY GOVERNMENT.

oBERG/WELLS/KORNIE (the CWB 8 dwarves) SHOT PM HARPER AND CWB MINISTER RITZ... IN THE BACK... ABOUT 3 TIMES TOO MANY!!!

Their CWB'single desk' confiscation gun... is about to be 'recinded and then extinguished...' to use Ted Morton's not so misunderstood Progressive words.