Take my ball and go home: CWB style

[dave4441]

I was in Morocco and had a importer of cdn durum wheat tell me that he could not get the board to return his phone call. He only imports 80,000 MT of durum wheat from Canada per year. Minster Ritz was standing next to me at the time. 80000 MT is not a small buyer. I think the CWB found it easier to let CDN companies market it direct into US for them.

Incendently, the buyer used about 20000 MT of local product and required 80000 MT of CDN product to meet the quality spec he required for re export into EU. Yet he voiced concern about current service. There is huge opp for people, or even a new CWB to service smaller operations. THis is how a grain market runs out of product, selling bits and pieces into exsisting and new markets. We may not know the real demand for CDN cereal products becuase the board has disallowed the free market to perform.

[bucket]

There was a web site called alibab.com I stumbled across a while back. Durum buyers all over the place. The cwb laughed when i mentioned that as a resource. The sales were not big enough for them to care.

A forty tonne container of durum and a 40 tonne container of lentils this year could be worth the same money. SOmeone is going to look at that as an opportunity to buy durum.

And honestly, if you look at the production of lentils and the production of durum - they are both specialty crops. The cwb fails to recognize this.

Meanwhile the cwb will still be having its pissing match.

[checking]

To keep from failing or sinking; bear the weight of; hold up; sustain.

As I see it, wmoebis, you have two options. Either "get over it", or contact your director and tell him you have this amount of projected wheat and barley tonnage you want the Board to market for you after August 2012. It's called support. See for yourself if the CWB has any interest in handling this for you. Have you done this, or are you still grieving, angry, or in the denial stage?

[wmoebis]

I am sure some are way ahead. Have cleaners in place ready to ship commercially clean/export ready. Have Ccans lined up and are in negotiations with national and international mills. Little guys may have to find nich markets on thier own and I think it is in best interests to have a plan in place BEFORE anouncements are made and alternatives in case of the unexpected.

This does not seem to be Ritz's idea of good management. He just says we are getting rid of the CWB, with no plan in place or a single idea of what to do. Now he is trying to make everyone else look bad for his lack of planning.

All I said checking, was that if this is the kind of direction we are getting from this gov't why do we need them in there at all? Getting rid of the CWB is fine, first repeal the CWB ACT and FIRE Minister and the gov't appointed directors. Willing farmers can keep the directors that are there or elect new ones.

If 40-60-80% of farmers want to market through a marketing board and higher a elevator company to handle the grain, they sure don't need the gov't making laws to tell them how to do it. Unless it is going to cover every grain merchant and marketer.

If the new 'Canadian Western Wheat Board' were to get even 40% of the wheat signed up I am sure they could work out a deal with anyone of the grain companies to handle it. Heck maybe even a little competition.

Like everyone else including the CWB, just waiting to see what Ritz has up his sleeve before we can negotiate with the industry with cards in our hand.

Typical gov't of any stripes. Just like the CROW throw it out with no definate plan in place and no idea of what is wanted or how all other players may react.

[jdepape]

which would you rather?

1. Have the government (Ritz) dictate exactly what a voluntary CWB will do and look like?

or

2. Have your directors figure out what is best in their view and present the best ideas?

[BTOfarmallll]

Bucket I laugh at alibaba also. That whole site is one BIG freakin Scam. Found this out years ago already. Have you ever even bothered to contact some of the jokers on there??? I have & they ain't even got a clue. Guys on there wanting a 100 million tonnes of Urea per year for example. News flash there is only roughly 170 Million tonnes of urea produced world wide per year. These players in the industry wanting to buy these tonnage already know where to buy from, they don't need little fish like you to lead the way. Its shit like that tells me yer wasting yer time, don't bother, move on Bud. Now if the Bored would have listened to my idea we would all be making Big Money, but frick em' now, they gon be no more............

[Raven]

It was the CWB lawyer Henry Monk who wrote the legislation for the government in 1947 so that the government had supplies of grain (at their set price) for their contract with Great Britain. The difference now is the CWB doesn't like what's happening. But rest assured, behind all the political posturing to try to stop Ritz, the Winnipeg bureaucrats who have run the show for years will be scheming a voluntary system in case they can't stop the Government.

Incidently, and not that anyone seems to care, it never has been monopoly legislation (except during the War) - just Winnipeg bureaucratic policy.

[$short]

I bet the CWB is working on a proposal behind the closed doors. They are still playing politics but had better move on pretty soon.

The question I have is who would own the CWB in a monopolyless world. (is that a word)

If the govt gives them a pile of cash to operate in a new system wouldnt the taxpayer be the owner.

Or do they try and raise capital by selling shares to farmers. In this case the shareholders would elect the board.

Ownership, governance and capital would be some key issues they are dealing with would be my guess.

[wmoebis]

I am not so concerned with what the CWB is going to do. There hands are tied until the CWB ACT and the gov't appointed directors are out of the picture.

I am more interested in what the market place is going to look like next year. Will we be able to sell direct to mills and export ourselves, be it alone or through a broker? Will the line companies open there doors and take any quality until they are full or are they going to buy on spec when they need it.

How are they going to handle deliveries of all the different grains, pulses and oil seeds? I know they handle them now but they will have a lot more money tied up and will want to maximise returns on that money. I herd some elevators are only going to take peas another only wheat others only canola so our markets will be there but further away.

I think Ritz will put in a new ACT that says only accredited line companies can sell and export grain. He will do this on the quality assurance aspect. Canada has a reputation for quality and he isn't going to risk that.

Wheat quality for end use is a lot different than canola, lentils or peas.

Nothing may change other than instead of farmers marketing thier own grain to customers around the world we will be selling into our local markets we might be using brokers/marketers but they will be selling localy.

About 75000 farmers and about 75000 ideas on how this is going to play out. Not '1' knows for sure including those at the helm.

[jdepape]

Why are the CWB’s hands tied until the appointed directors are gone?

Elevator companies will buy as they buy canola, flax, lentils or peas.

How does taking only one grain at an elevator tie up less money?

Quality assurance is the CGC’s job. How will restricting exports to only “accredited line companies” assure quality?

How is wheat quality for end use “a lot different than canola, lentils or peas”? What is so mystical about it that your are comfortable with the CWB selling wheat but not a grain company?

[agstar77]

There will be a downgrade of consistency of export wheat jut because of the splintering of the wheat pool. You can argue all you want that nothing will change, but if you look at the U.S. system quality and consistentcy is not job 1. We will lose overall but some will gain.

[charliep]

I need someone to work me through the mechanics of grading grain today and 2012/13.

Today - A farmer dumps wheat into the pit and is assigned a grade/protein and paid an initial payment. If they are disatisfied with the grade, there are processes of appeal with CGC or the ability to deliver the next load to another elevator/buyer.

Farmers wheat is dumped into one of silos and is blended with their neighbors. Sampling is done on loading rail cars. I suspect the CWB monitors to make sure the blended wheat comes close to matching up with the volumes, grades and proteins that were delivered to them. They also use this information to know what they have for sale and allow more blending in Vancouver/port to meet actual sales commitments. More sampling Vancouver but this time for matching wheat inventories with customers.

What will change in the new world on the grading side? Inventory management and ownership are different issues.

[bucket]

The real losers will be the ones that have grown fusarium wheat and the cwb has bumped their grade then blended it off with the high quality wheat.

If you are growing high quality wheat, you will be better off.

Maybe the guys that grow shit grain will be crying over the loss of the cwb but tough shit, my farm can't continue to subsidize the fusarium program.

[charliep]

Perhaps to highlight, the CWB is interesting in grading for monitoring purposes/knowing what they have for sale but they are not actively involved in the process - key groups here are the CGC and grain companies. Know about the labs in Saskatoon but again, this has a different purpose around intelligence of what is the elevator system.

[jdepape]

Agstar:

When the CWB satisfies a sale of #3 Red partially with #2 Red - or even #1 Red, how does that contribute to "consistent" quality?

Or when they make a sale of "WCW" (Western Canadian Wheat) with no grades attached? What is expected? What is shipped? What is consistent?