Cashplus

[Ron]

So have some maltsters signed up for cashplus? If so who are the farmers signing up? Where do they find out the offers?
Do we phone the malter or the CWB?
IS THE PRICE POSTED OR JUST PHONED IN TO A FEW FRIENDS OF THE CWB?
I have looked around the CWB website and cant find anything. Shouldnt it be listed as a PPO?

Has anybody signed up or been offered a contract in the real world?

SCREW THE CWB

[Vader]

The CWB's offer is available through any malster that chooses to participate. So far only BARI has chosen to contract with farmers. Their program worked out to about $6.50 per bushel net to a Saskatchewan farmer. The price in Alberta was higher by the difference in freight.

The program was about 140,000 tonnes and was sold out in about a week.

It is anticipated that there will be a dividend payment to CashPlus participants in addition to the cash price contracted for and that divident could be in the range of 75 cents per bushel bringing a farmers net payment for malt barley to $7.25 in Saskatchewan.

The CWB rocks!!

[chaffmeister]

Vader:

140,000 tonnes is 6.43 million bushels.
Wanna check your figures?

Since we all know you're a CWB director, when you state stuff like this (which I think is supposed to be confidential) you are held to a higher standard.

Make sure you got it right. I don't think you do.

[furrowtickler]

Vader - is this little cashplus plan still in effect when/if you lose the monopoly on barley?
Are these gaurenteed numbers, or pie in the sky nubers that never materialize?
I may have missed something before but was the $6.5 - $7.25/bus published anywhere before the program filled?
Does this apply to a production contract with an act of god or is it a set amount with all the risk on the producer?

[Fransisco]

Vader/Rod- You must have missed this question on the other thread. So I'll ask it again here.

In the latest annual report on page 45 of the pdf, page 43 of the report it has a sales price comparison claiming that the board got the following more per tonne than Competitors.

Wheat – $6.00
Durum – $7.77
Designated barley – $13.45

Could you please explain how these numbers were arrived at? Who were the competitors? Where were they located?

I (and I'm sure others) would like to see the Boards math here.

[Fransisco]

Vader/Rod- You must have missed this question on the other thread. So I'll ask it again here.

In the latest annual report on page 45 of the pdf, page 43 of the report it has a sales price comparison claiming that the board got the following more per tonne than Competitors.

Wheat – $6.00
Durum – $7.77
Designated barley – $13.45

Could you please explain how these numbers were arrived at? Who were the competitors? Where were they located?

I(and I'm sure others)would like to see the Boards math here.

[Vader]

I have not seen the CashPlus contract. The CWB is a third party to the contract but the details of the contract are esentially between the farmer and the maltster. If your maltster is not offering you the opportunity to contract you might want to ask them when they will be willing to do that.

The pooling system is still available to you if you don't participate in CashPlus.

[Ron]

Vader, thanks for the response. So, I phone a maltster, tell them I want to contract with them, work out a deal specs/price/delivery time/storage costs etc, then call the CWB to middleman it for me?
Just trying to figure out the procedure (and find the value added on your end)

I think we are both grossly UNDERSTATING our feelings in our closing? (but thanks for the reply)

SCREW THE CWB

[Vader]

Francisco,

I have asked that sales comparisons be provided to the board of Directors at each meeting. These are posted in a binder which is available for all Directors to see. Each sale is compared to the relevant competition at the time of the sale. These premiums vary widely depending on the region of the world and who the relevant competition is. Some sales have very large premiums particularly in the case of top quality milling wheat.

The numbers shown in the annual report would include sales of feed quality wheat where there is no premium in the marketplace.

You might ask some of our so-called "marketing choice" directors what their view is of the sales information provided for them. Some of them have suggested that the CWB does not provide value. If that is the case then have they not seen the information provided to directors, or do they not believe what they see? In any event what have they done to further the analysis of our sales performance or to improve the performance. After all that is their job.

Although the numbers in the report show that the CWB is generating a premium on a per bushel basis it is not going to show the type of value generated in the 07/08 year. This year much of our high value sales will be done when there is essentially no competition because the competitors are sold out. How do you compare a sale today at $20 per bushel when nobody else has any wheat to sell?

In addition to the sales values comparison I want to our staff to generate a volume based comparison.

I think that by the time the crop year is over the total premiums on durum wheat will be about 250 Million and spring wheat could well be in excess of a Billion dollars.

THE CWB ROCKS!!

[Vader]

Ron - no call to the CWB to do this deal. Just you and the maltster.

The CWB will send you a divident check in the end to represent the value added by the single desk

THE CWB ROCKS!!

[Vader]

Dividend - sry

[Vader]

Vadar
I have seen a contract and so did many during the WBGA convention. First page is BARI's name - Specs such as 80% plump
- Germ 97%min yet no price $$ per tonne -
subsequent pages are CWB contracts including last page where it is a typical CWB contact where it lists:
Germ 97% min
Plump 85% min
Tonnage amount
no price
LET ME REPEAT in the contract a good deal of us saw at the WBGA convention had no price attached to it.
And it was a contractual agreement between the producer and the CWB, - BARI had a cover sheet on top with just their specs nothing more.
Questionsfor you Vadar
1 - in the rush for the CWB to try to embarrass Minister Ritz at his meeting, the CWB only had verbal committment to tonnage correct? - the contracts that were shown were sent to those producers on Feb 14. These producers yes verbally committed to sign contracts, yet once getting them have all refused as the contract has no price attached to it, and as mentioned above was a contract directly with the CWB not the Maltster.
2 - 140,000 tonnes? Chaffmiester questioned you on this too, Minister Ritz says 40,000 - are you lying to your boss again? - Read the CWB ACT to see who your boss is.
3 - Our Canadian domestic maltsters openly continue to state that if they could work with producers with out you (the CWB) as a middle man they could be offering over one $$ more easily. Its easy to say that at the prices even CashPlus has offered that producers arn't interested - yet when we are being told publicly that we could be getting much much more then why would we sign with the CWB?
4 - at your last board meeting producer surveys were released - share with us the facts in those surveys. As your Chair stated almost a year ago after the barley plebiscite, the results closely mirrored internal CWB producer surveys from the past ten years regarding barley.
5 - toughest question for last Vader,
why is the CWB - a Canadian institution - trying to kill the Canadian domestic malting industry? Sooner or later unless you respect the barley industry and producers there won't be much left of either. With the current CWB blackmailing the maltsters into the CWB "our way or no way", you know we lost new malt builds, and have lost barley producers across the west that won't grow barley for malt any more. This is not a CWB debate anymore, when you threaten the economy of communities, provinces and a country. What an accomplishment ! yet WHY VADER WHY?

[Vader]

who is erik

[chaffmeister]

Vader:
(or anyone else)

Let's assume CashPlus mirrors the open market. Daily cash prices that are directly derived from the cash business going on. Farmers get all of the money maltsters are paying (except a little tookage to cover admin costs, but for now let's assume no one cares about that).

So tell us - how does this adds value to the industry?

[chaffmeister]

Vader:
About the bible with all the CWB sales in it - the one for you directors to see.

What does it show when the CWB misses a deal?