Agstar's point to cover costs

[Lifer]

Started a new thread for Mr. Cotton.

Agstar stated he would need 10 (I'll assume that is $10 per bushel) on his 30 to 35 bushels per acre call it 32.5 to cover costs. That is then $325 per acre to cover costs. His HRS averaged 35 to 45 bushels per acre call it 40.

I'll assume your wheat costs are a little lower ($25 an acre less) call it $300. Your price to cover costs is then $7.50 per bushel.

Which is more likely this year an opportunity to price $10.00 per bushel
for canola or $7.50 per bushel for Hard red spring wheat.

[Fransisco]

It will be much easier this year to recoup costs on a lousy canola crop than an above average wheat crop. There is no question about it.

The 70 cents to a buck a bushel difference we see in wheat prices across the border would make a big difference in that.

But folks like agstar and cotton of course don't like it when you point this out.

[TOM4CWB]

Lifer,

Clearly the CWB has cost us that $50/t AGAIN, and it is truly a cost as total market revenues from "single desk" crops are close to this much short of covering costs.

WE NEED A CWB OFFSET PROGRAM, it needs to pay $50/ac on cultivated acres.

IF the BQ, Liberals, and NDP want to cough up this kind of cash... then perhaps they would be explaing the true cost of regulated marketing to the taxpayers of Canada through the "single desk" of the "Designated Area". Anyone proud of this CWB effect has a warped sense of pride/humour!

[Fransisco]

Did my cross border price check today it looks like I was out a bit.

The yanks are 75 cents to 1.06 a bushel ahead of us in getting to their break evens.

http://bottineaufarmers.com/index.cfm?show=11&mid=6&theLocation=1&cmid=1&layou t=1

[Fransisco]

Boards offering $5.31 per bushel for hard red spring. In North Dakota it works out to $6.05 Canadian for off the combine or $6.37 Canadian for December delivery.

I think agstar is going to need more than $10 canola if he wants to recoup his loses in wheat.