wheat buddy is out.

[farming101]

Yes, hopefully a no bid situation would be very short term.
What is the difference between telling a farmer you can't make a deal with them at a reasonable price and telling the farmer, sure I will buy your grain, sign here, then, don't take delivery of the grain when the contract says? With no compensation?
What options does a farmer have long term? More Storage, grow less or no wheat at all, use options/hedge, find new markets on your own, producer cars. John,you are indeed correct that the worst thing farmers can do is continue to sell at lower and lower prices. The reality is all opportunities there are for holding out for a better price come with an expiry date.

[BTO_farmalll]

Dape',

God Damn YOU are a Fcking Idiot Along With Yer Grain Buyin Cronies!!!!!!! Using yer Math on Converting The Fx, Theys are Still Fcking Us!!!!!!! Where is The Money GOING!!!!!!!!!!!!!!!!

[farming101]

I realize that the Minneapolis contract is probably realistic for a farmer in Saskatchewan when you consider the exchange, contract specifications etc.(Delivery to the Minneapolis/Duluth area).
Right now there are lots of spring wheat farmers in the States that are not liking the current pricing either.

I can't understand why ICE doesn't tweak their contract till it does get some uptake. Sad.

[bucket]

Depape

If basis was reported as you suggest, maybe farmers would quit selling.

And the graincos might soon learn about the power farmers have that you talk about.

[jdepape]

bucket - are you saying farmers react to basis?

I wish.

The only reason we got to 80 under last year was because farmers ignored the basis and kept on selling.

How about the new crop canola sales we were seeing last spring - over $10/bu yes - but with a 70 under basis.

[farmaholic]

I think in the staring contest between GrainCos and Producer's, Producer's will always lose.

John, a lot of Producer's don't have the financial strength to dig in their heels. As long as the beast gets fed, there is no reason for the prices to rise, to many sellers....

If the spread between port and prairie prices is as wide a $3.00--ouch. We know from the old system that from midpoint Sask deductions were about $1.60, give them $1.75 now. That still leaves $1.25 or almost $46/tonne, or on a 50 bushel/ac. wheat crop $75/ac. Did you net $62.50/ac?

[farmaholic]

Boo boo, or on a 50 bu/ac. wheat crop $62.50/ac. Not 75, got the last part right with the $62.50 though???????

[jdepape]

"a lot of Producer's don't have the financial strength to dig in their heels"

<b>BANG ON.</b>

The problem to be fixed is not the wide export spread - that's merely a symptom.

The problem is too many farms are not capitalized well enough to market to their best ability. And many don't know how to exploit the market to their benefit.

Let's solve THAT problem and see how this market works.

[bucket]

Funny thing is some people were saying here that graincos were not making excess profit because farmers were not selling?

Now it's that farmers have kept selling which is why things are ****ed up.

If canadian producers didn't sell someone halfway around the world will and has been shown in the states after a big crop they can still count on government support.

That's how many farms in the states are well financed. That and market is more transparent.

Spring wheat in the pnw has an export basis of plus 5.90 last time I checked. Add that to mpls and you get the export price quote. That kind of basis should be encouraging deliveries. Pretty simple. Not so in Canada.

[MBgrower]

BTO, I'll tell u where the money is going. Richardsons using it to expand their oil business, tundra oil.