New Pasta Plant

[wilagro]

food4u: THAT hardly warrants a reply.

[FarmRanger]

<i>" in fact they were processing lentils, peas and beans for export and domestic production for years already. "</i>

And not durum. Why would they not process durum? Having a state trading agency driving all the profit out of processing durum wouldn't have anything to do with it. No, we're much better off driving away all those "evil" corporations who might make a buck off of farmers. It's much better to pay the freight to export destinations on everything we produce rather than split any profit to be made from domestic processing with those evil corporations and the people they employ. /sarcasm

Goodbye and good riddance CWB single desk.

[cottonpicken]

Not siding with anyone but i wouldn't touch any value
added canadian company with a ten foot pole.

[farmaholic]

Cottenpicken: I can't help to ask why? Any response, long or short, would be appreciated. Thanks in advance.

[Integrity_Farmer]

It's all bullshit.

[malta]

I would not have invested my money to build when the CWB was the sole seller. The biggest danger to any business is to have only one buyer, the second biggest danger is to have only one supplier. Now that multiple suppliers will be available to new plants, any that are built and well managed should do well, and so will the farmers that supply them. To all the good socialists who look at corporations as evil. I don't buy from anyone unless the deal works for both of us and I don't sell to anyone unless the deal works for both of us. The only time the formula fails is when one party in the deal is a monopoly and is not affected whether the deal is made or not. CWB employees get paid the same whether they sell my grain at a high price or a low price. This explains why the costs of operating the CWB have increase 56% in the past seven years while the costs of grain elevation have increased less than 20%.

[farmaholic]

Malta; Antagonistic question: Maybe the 56% increase is cheaper per tonne than the 20% increase in elevation charges? Maybe someone in the know could answer that, I can't but enjoy stirring the pot a bit now and then.

[CeePen]

Huge amount of success depends on the marketing plan. Who are they going to sell to. Lots of companies with good ideas have gone belly up because they don't have a market. Don't know if that's the case here, but investors should be cautious.

[malta]

You may be right but with the average CWB employee comensation exceeding $100,000 I doubt it. Before everyone loses it go to the annual report, look up employee compensation add future employee costs and divide by the number of employees.

[Braveheart]

Wow this is great news for you durum producers! Congrats. We can't grow durum here but 7 miles south in North Dakota that's all they grow. Beautiful amber durum. Oh well.

It will be interesting to see if the new venture contracts directly with producers or reaches out through grain companies. Either way, despite what the ODD post might say, shipping a product rather than the raw commodity is far more efficient. It should add capacity to the rail system as well.

[cottonpicken]

Cost structure,if you add labour and land and tax we
are dead.

[farmaholic]

Cotton: What would it take to make us competitive? Cheap durum for the pasta plant?

[mustardman]

Yes farnaholic to make us competitive we need cheap durum and if we could build a city the size of Montreal around the Plant might help. (like Catelli has) lol

Franny and Weber should be on here pretty quick to remind us of All those Well known pasta brands that North Dakota produces LOL

[bucket]

I, for one would give them a load of durum as long as they paid market price for the second one, I would still be better off than using the cwb.

[Braveheart]

I wish them the best of luck. I know there are challenges to production costs and securing markets but, they are not unsurmountable.

It's what I love about free enterprise. People have dreams and take chances. It drives the economy. Some fail some succeed. But taking the risk should never be discouraged.