Parsley got me thinking about the following questions regarding why more business is not being done directly to domestic flour mills (I know there is some direct business to Robin Hood in Saskatoon).
1) How many of you ship wheat are selling directlydirectly to a western Canadian flour mill?
2) Do the domestic flour mills have quality requirements over and above CGC grade specifications? Variety/class specific programs (an example is white wheat? Do the companies pay premiums for quality/variety specific crops? Do they pass along some of their saved costs by going direct using things like trucking premiums?
3) If you are doing this, are you happy with the results of dealing direct? Would you like to do more?
4) Can some one help me with thoughts about the following quote taken from the CWB submission to the parlimentary standing committee on Agriculture?
"In addition, the Canadian National Millers Association (CNMA) has stated that as long as producers continue to perceive a benefit from the single desk system, and as long as the CWB maintains complete control over the marketing of wheat in Western Canada, the milling industry is very comfortable working with a single desk marketer. The CNMA also states that new market demand is what creates opportunities for value-added processing and they do not see how dismantling with the CWB’s marketing mandate will create new demand and opportunities for Canadian wheat millers."
The following quote was taken from the CWB rebuttle to the standing committe.
"In addition, the report makes reference to grain producers in Ontario and Quebec ‘enjoying increasing flexibility’ in the marketing of their wheat and barley. "Those producers are also ‘enjoying’ lower prices, and the Ontario milling industry finds the dual marketing system in Ontario so dysfunctional that it has asked for the complete removal of the marketing powers of the Ontario Wheat Producers’ Marketing Board," Ritter explained. "In the meantime, the wheat and barley processing industry in Western Canada is stable and growing and farmers are receiving premium prices from this market."
1) How many of you ship wheat are selling directlydirectly to a western Canadian flour mill?
2) Do the domestic flour mills have quality requirements over and above CGC grade specifications? Variety/class specific programs (an example is white wheat? Do the companies pay premiums for quality/variety specific crops? Do they pass along some of their saved costs by going direct using things like trucking premiums?
3) If you are doing this, are you happy with the results of dealing direct? Would you like to do more?
4) Can some one help me with thoughts about the following quote taken from the CWB submission to the parlimentary standing committee on Agriculture?
"In addition, the Canadian National Millers Association (CNMA) has stated that as long as producers continue to perceive a benefit from the single desk system, and as long as the CWB maintains complete control over the marketing of wheat in Western Canada, the milling industry is very comfortable working with a single desk marketer. The CNMA also states that new market demand is what creates opportunities for value-added processing and they do not see how dismantling with the CWB’s marketing mandate will create new demand and opportunities for Canadian wheat millers."
The following quote was taken from the CWB rebuttle to the standing committe.
"In addition, the report makes reference to grain producers in Ontario and Quebec ‘enjoying increasing flexibility’ in the marketing of their wheat and barley. "Those producers are also ‘enjoying’ lower prices, and the Ontario milling industry finds the dual marketing system in Ontario so dysfunctional that it has asked for the complete removal of the marketing powers of the Ontario Wheat Producers’ Marketing Board," Ritter explained. "In the meantime, the wheat and barley processing industry in Western Canada is stable and growing and farmers are receiving premium prices from this market."