Another point of view

[wilagro]

I would like to present another point of view as expressed by Bill Dascovich in a letter to the Edmonton Journal on Nov. 2/02.

By permission:

Wheat board a shield against exploitation.

Re: Klein: Wheat Board as bad as NEP, Kyoto, gun control, Journal, Nov. l

It would appear that farmers are often their own worst enemies. International grain
merchants must be laughing down their sleeves at the success of the well orchestrated rally
surrounding the jailing of 13 farmers for breaking the policy of the Canadian Wheat Board.
These farmers had the option to pay fines for breaking the law, but they chose to stage a
media event in the hope that destruction of the Canadian Wheat Board would gain popular support.
One hears many proclamations about "freedom of choice" for farmers, but the Canadian
Wheat Board Act was brought into effect in 1935 to provide wheat farmers with freedom from
exploitation by unscrupulous grain merchants.
It is my view that international grain merchants see the wheat board as an obstacle and
would like nothing better than to regain their freedom to maximize profits at the expense of
Canadian farmers, who would be compelled to compete against each other in the marketing of
grain, as they did in the hungry thirties.
They enlist the help of phoney farm organizations and unsuspecting farmers in their
extensive media campaign to portray the board as a villain that robs farmers of their "freedom."
The strategy is to create the illusion that it is farmers themselves who want to destroy the board.
But the majority of grain farmers in the western Canada support the wheat board because
they know that power respects only power, and that the wheat board's single-desk marketing
system gives them an important advantage when competing on the world grain market.

William Dascavich, Vegreville

[TOM4CWB]

Wilagro;

I appreciate the chance to comment on the CWB's supporters claims...

In 1939, my grandfather took the CWB to court, for refusing to return actual revenue from sales to farmers through the pooling accounts... so even before the "single desk" monopoly began... the government of Canada was skimming off western Canadian farmers wheat.

My grandfathers court case was ended because of the Second World War, the War Measures Act took away farmers right to challenge the Canadian government on the CWB.

My grandfather died in 2001, just before his 101st birthday, and unfortunately the CWB issue was and still is as much an emotional debate... as it was when it was still voluntary in 1939.

One would hope that we farmers could find more constructive projects to work on...

than being "back seat" marketers of our neighbours blood sweat and tears... their own grain!

[kslseed]

I wonder if Mr. Dascavich feels the same way about unscrupules canola, feed, pea buyers etc. and why alt thus CWB supporters have not asked for the CWB to running all their affairs?

Mr. Dascavich is with certainty not part of this discussion, but I will send a letter to him and ask him.

[bobn]

wilagro,

The CWB is the exploiter of farmers not the shield. What the CWB does is limit farmers' options. Farmers have only one option for their wheat & barley used for human consumption. In Australia, for example 77% of exports are done by firms with less than 20 employees. Exporting is not rocket science, but does require innovation and imagination plus the all important competition. Many exporters working independently cannot exploit farmers, but one bureaucratic relic of the second world war backed by threats of fines and jail certainly can.


Big moves from small business

Nov 04, 2002 (CPA News - ABIX via COMTEX) -- Exports account for one fifth of Australia's gross domestic product and 16 per cent of employment. Surprisingly, there are only 25,000 firms actually engaged in the export business. Of those, 77 per cent have less than 20 employees. For a small-to-medium enterprise (SME), moving into the global marketplace may seem daunting. Austrade points out, however, that as well as access to other markets and an increase in sales, exporting also improves the performance of SMEs at home. Chief economist, Tim Harcourt, says SME exporters perform better than their peers in terms of employment conditions, education and training, innovation and the takeup of new technology.

Publication Date: November 2002

AUSTRADE

[ALLFARMER]

Farmers are doing very well marketing their off board grain ez. Canola, Oats Alfalfa, Timothy. We have in AB plants that need large voulmes of product to keep their plants running. Timothy plant at Westlock & Olds Alfalfa plants at Legal & Falher Canola plant at Ft.Saskatchewan & Lloydminister I beleave Oat processors at Manola & Ft. Saskatchewan. All of these plants on average are paying good prices for product. We can grow some of the best wheat in the world here lets get some pasta plants going. Free Wheat in the West. Vote for dual market directors that mean Art is out and Brian Trueblood is in! The days of the single desk are numbered.

[rodbradshaw]

There was a reason that his column in Grainews was entitled "From the Left".

The left wing **** want to be able to keep everyone down and they see the CWB as divine intervention to keep everyone poor. It is amazing how these old ***** can remember the Bad grain merchants stealing their grain but don't talk about how much money was stolen from them and given to the consumers in England after WW 2 or how people barely survived the 1-3 bushel quotas of the early 60's. I guess when you have the blinders on you only see what you want.

[parsley]

This is what Mr. Dascavich states:

"It is my view that international grain merchants see the wheat board as an obstacle and would like nothing better than to regain their freedom to maximize profits at the expense of Canadian farmers"


Last fall’s financial collapse of Italgrani, the exclusive handler of Canadian durum in Italy, has forced the CWB to find an alternative.

This is what ConAgra Grain Canada, a subsidiary of Omaha-based ConAgra Inc., who opened a grain sales and marketing office in Naples, Italy, states on their web page:

"In December, the Canadian Wheat Board (CWB), chose ConAgra, as well as Ravenna-based Toepfer and Louis Dreyfus to maintain its presence in the Italian non-durum milling wheat market. This came following the collapse of Italgrani, which had been the sole handler of Canadian durum in Canada."

Somebody should call Mr. Dascavich and tell him that in the real world he knows nothing about, the large corporations are business partners of the CWB.

What he should be asking is, "Did the pooling accounts lose money because of Italgrani's bankruptcy losses?"

Parsley

[chaffmeister]

Mr. Dascavich states "It is my view that international grain merchants see the wheat board as an obstacle and would like nothing better than to regain their freedom to maximize profits at the expense of Canadian farmers."

Although this thread is getting cold, I wante to add a comment.

I'm going to assume that Mr. Dascavich includes as international grain merchants the major grain companies in western Canada. If so, he should be made aware that, until recently, the grain companies considered handling CWB grain as good business - low risk and good returns. However, now with tendering, the grain companies are cutting their margins to compete - on average about $7 per tonne on top of any trucking premiums paid directly to farmers. And although the CWB publicly takes credit for all the "savings" this margin cutting is producing, it really isn't the CWB's doing at all. The old pre-tendering system, embraced by the CWB, provided the elevator companies with relatively hefty, low-risk margins (much larger than their counterparts in the USA). THOSE ROSY MARGINS WOULD NEVER HAVE BEEN THERE IN THE FIRST PLACE IF THE CWB NEVER EXISTED. I think there are likely some grain companies out there that are concerned with the potential of the CWB disappearing because along with it will go some of those comfy margins.

[parsley]

chaffmeister,

That is true. Some of the grain companies are snugged up in a cozy margin money comforter, but the smart companies are recognizing that :

1. Board grains volumes are significantly diminishing.

2. Younger farmers view the corporations as their business partners instead of viewing them through the paranoid eyes of Bill D.

3. Farmers will have probably get access to export markets very soon, and that will leave the domestic corporations gasping for supply

4.Corporations need to re-enforce the idea that if farmers survive...via thriving marketing strategies as opposed to government subsidies,..... the companies will make money.

5.Companies need to look at farmers through fresh eyes, much the same as farmers need to look at corporations through fresh eyes.

6. Corporations are used to doing business with CWB employees who have little concern for farmers' money, going through it like water. The free market world will be one of belt tightening. They'd best prepare for it.

Parsley