Agstar77,
ARE YOU SERIOUS?
The US is a premium market... because they are a dependable... trustworthy... supplier. They have a trasparent pricing system... and buyers support them before Canada because of this.
Japan buys more high quality wheat from the US than the CWB... because they get better value... and Japan pays the US more for that quality... (Even though the CWB claims the opposite)
When I ship to the US... I displace domestic wheat into the domestic market... which is instantly replaced in the export market by that displaced domestic US Wheat... hence the reason the US charges me the normal export basis when it buys my Canadian wheat.
Agstar77... the end of the CWB's DPC... clearly proves the failure of the CWB to compete in full value export markets around the globe... even though the US grain export system is more costly than the western Canadian system.
Further the basis off the west coast of North America (PNW) has clearly become much better (over $2/buUS in the past 2 months) and the CWB instead has widened the basis instead of narrowing it by the $.60/buUS. freight rates have become the cheapest in many decades... which is part of the reason the US has a better basis off the PNW... and the CWB inhaled that premium as well.
I sold Commodity Canola to Cargill last week at a $16/t basis under the Nov08 contract for delivery that day.
Don't tell me the CWB is being fair... let alone extracting a premium for my farm. The CWB is extracting a huge premium FROM my farm... right now on my prepriced wheat over $1/bu.
ARE YOU SERIOUS?
The US is a premium market... because they are a dependable... trustworthy... supplier. They have a trasparent pricing system... and buyers support them before Canada because of this.
Japan buys more high quality wheat from the US than the CWB... because they get better value... and Japan pays the US more for that quality... (Even though the CWB claims the opposite)
When I ship to the US... I displace domestic wheat into the domestic market... which is instantly replaced in the export market by that displaced domestic US Wheat... hence the reason the US charges me the normal export basis when it buys my Canadian wheat.
Agstar77... the end of the CWB's DPC... clearly proves the failure of the CWB to compete in full value export markets around the globe... even though the US grain export system is more costly than the western Canadian system.
Further the basis off the west coast of North America (PNW) has clearly become much better (over $2/buUS in the past 2 months) and the CWB instead has widened the basis instead of narrowing it by the $.60/buUS. freight rates have become the cheapest in many decades... which is part of the reason the US has a better basis off the PNW... and the CWB inhaled that premium as well.
I sold Commodity Canola to Cargill last week at a $16/t basis under the Nov08 contract for delivery that day.
Don't tell me the CWB is being fair... let alone extracting a premium for my farm. The CWB is extracting a huge premium FROM my farm... right now on my prepriced wheat over $1/bu.
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