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Hints on 2008/09 Basis Levels

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    Hints on 2008/09 Basis Levels

    Have a look at the basis on the 2006/07 fpc CWRS

    (http://www.cwb.ca/public/en/farmers/producer/historical/pdf/2006-07/fpcbpccharts_073007.pdf - slide 17)

    and compare this to 2007/08 (realizing you have to add in an additional $10/tonne /- for the adjustment factor).

    Interesting how you can compare the two and find out the basis has been about $20/tonne weaker during the whole 2007/08 year verus the previous year.

    If this year is likely to be a net drag on the contingency fund and the CWB is wanting to top up next contingency fund, look for the basis levels a week today at grain world to be really ugly.

    #2
    The adjustment factor applies to contracts signed after August 1, 2007. Here is the link (page 17).

    http://www.cwb.ca/public/en/farmers/producer/historical/pdf/2007-08/0708fpcbpccharts.pdf

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