Has anyone phoned in for a Producer Direct Sale quote for feed barley? This is the price you would do a buyback at if you were doing a sale into the US.
The price today is $163.40/t based Vancouver (this is an accurate reflection of current international barley prices). Your initial is $100/t under the 80 % EPO program ($80/t otherwise). To do a buyback (assuming the EPO option) would be to forgo your initial payment and then cut a cheque for an additional $63.40/t (I haven't included the deduction for risk on the EPO).
Your next step would be to deliver across the border in the US and sell for current Montana cash prices (about $125/t). You are out of pocket $60/t minus what ever adjustment/final payments you would recieve (final payment forecast from July - $25/t).
This is an indication of the problems with the CWB and feed barley. There is a demand vaccuum in feed barley that needs to be filled this fall to help offset the ugliness in the livestock industry. The are sales opportunities in the world barley markets in Oct., Nov. and Dec. before new crop Aussie comes off. If the CWB makes sales in 2004, there is a distinct probability that the $125/t PRO (port) will be a reality.
There seems to be something wrong here.
The price today is $163.40/t based Vancouver (this is an accurate reflection of current international barley prices). Your initial is $100/t under the 80 % EPO program ($80/t otherwise). To do a buyback (assuming the EPO option) would be to forgo your initial payment and then cut a cheque for an additional $63.40/t (I haven't included the deduction for risk on the EPO).
Your next step would be to deliver across the border in the US and sell for current Montana cash prices (about $125/t). You are out of pocket $60/t minus what ever adjustment/final payments you would recieve (final payment forecast from July - $25/t).
This is an indication of the problems with the CWB and feed barley. There is a demand vaccuum in feed barley that needs to be filled this fall to help offset the ugliness in the livestock industry. The are sales opportunities in the world barley markets in Oct., Nov. and Dec. before new crop Aussie comes off. If the CWB makes sales in 2004, there is a distinct probability that the $125/t PRO (port) will be a reality.
There seems to be something wrong here.
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