Al-Katib

[dave4441]

BAsically Viterra, and to a lesser extent JRI, moved about 10 percent of the CDN lentil crop last crop year. Greg Simpson would not beleive that "the bulk" of the red crop is moved by container, that is totally incorrect and he has been misquoted. There are single processing plants in Sask that move more product then JRI and Viterra move with all their facilities combined. Most countries can not accept a vessel of red lentils. Just does not work for the size of customers that are present in most of these markets. THe world is increasing it's demand of food products that are delivered with a specific quality. Viterra is increasing the risk of issues with our customers. Look at flax issues in Europe, canary in Mexico and pea issues in India, etc. Line companies blend screenings (like GMO canola) into the lentils that are shipped out of Canada and this is the risk Murad is referring to. What they are doing is dumbing down the quality of the CDN red crop and this loss flows down to the grower.

[dave4441]

Sorry, i meant Greg Simpson would not believe that the bulk of the red crop is handled thru the line companies. Not even close.

Lentils in Turkey are unloading with up to 10% dockage. Show me a grower with 10% dockage across 30000 MT. This is the risk.

[JDGreen]

well said Dave. Agree 100%.

[sumdumguy]

Jusr takes one bad apple to spoil a batch.

[chuckChuck]

What is the risk that more large major customers will realize they can buy in bulk at a big discount and capture the processing values in their own country?

Identity preserved only works if the customer is willing to pay for it. Very few bread eaters care whether the wheat came from the US, Australia, Argentina, Kazakstan, or Canada.

[FarmRanger]

<i>"Identity preserved only works if the customer
is willing to pay for it. Very few bread eaters care
whether the wheat came from the US, Australia,
Argentina, Kazakstan, or Canada."</i>

And yet one of the CWBs big arguments for
continued single desk expropriation is alleged
ability to extract a premium from these same
"bread eaters". Hmmmm.

[parsley]

Then what is the reason for branding?

[dave4441]

Turkish buyers have cleaning facilities and can buy dirty bulk product as they have more commercial systems. Indian reds are bought more as whole seed and then customer takes the product to a local splitter, not unlike the small town baker of the prairies. This system does not lend itself to large parcels of bulk dirty product. This is what limits the total tonnage that can be shipped dirty bulk. Changes will occur in the industry in India over time as it's economy evolves. To think that Al-Katib does not anticipate this is laughable at best and is a massive generalization of the article. Green lentil shipments thru terminals have been tried in the past and generally does not work, too much damage. Destination buyers found that market risk on such a large parcel in a truely niche crop was also difficult.

[cottonpicken]

I should have rephrased my initial post.

He has accomplished much,and maybe sees the
change coming,i don't know.

But in dog years this model is dead.

The massive host of opportunities before him makes
me drool.

[cottonpicken]

That last statement about opportunities maybe miss
read as condescending.It is not.

The tools at his disposal are mind boggling to me.

(sorry,keeping text in context without emotional
interface is tough)