Originally posted by grassfarmer
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I'm betting they shredded it all because most of their customers for many years were state to state deals with shit-hole countries where everyone knows nothing happens without big kickbacks.
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Actually if you reinstated your single desk would be a godsend for other exporting countries one less competitor to worry about
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Originally posted by malleefarmer View PostActually if you reinstated your single desk would be a godsend for other exporting countries one less competitor to worry about
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Originally posted by grassfarmer View PostSo can you explain why the US launched trade challenges in the teens of times against Canada when the CWB was operating and never since? Logic would suggest they viewed Canada as a trade threat back then but don't any longer.
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No talking then grass talking now.
There was no black sea/russia as global force back then, things have changed 180 degrees.
Single desk in todays "free" trade wouldnt and logically cannot survive,
The days of single origin imports to a country are long gone.
Our single desk had exclusive market powers almost, to indonesia and to a lesser degree south east asian noodle wheat market now they dont give a stuff get it from were ever.
If our single desk was operating now we would have a mountain of carryover of unsold wheat. Cost of running the single desk would make it just to uncompetitive in 2018.
Export traders like to make $30/40 per tonne usually do occasionally they lose. Markets collapsed in i think 2014 cost traders around $50 per tonne in South australia that year.
Domestic traders $15 to $20 target profit.
Currently there profit margin last few weeks is as low as $5 per tonne. Farmers not selling on farm stocks bids have risen endusers not paying anymore hence $5.
Heaps of grain in our storage system or elevators unsold but again traders do it tough at moment glencore charge $15 to get it out of the system domestically they have to factor it in.
Personally i wouldnt like to be a trader. Smart traders do back to back trades no risk but need to willing parties for that.
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Lower prices and one sided contracts guaranteed by the government. Yep a real subsidy. Laughable. The wicked witch is dead. Hallelujah
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