Brokers not picking up grain in contracted time

[WiltonRanch]

I contracted some grain through a broker I have dealt with in the past and have had great results with. Contract stated it was all to move in January. As it happened and I could understand the cold snap might have played a factor, but only 29% has been picked up and that was toward the end of January. I phoned them thinking there would be more trucks coming within the week to get some more but seems two weeks at the earliest with maybe another 29%. To cap it off I phoned them again last week and asked if they had a cheque for what they picked up and they said they sent it that day. It’s been close to 4 business days and no cheque. Now either Canada post is slow as usual or I’m being snowed. I have a hunch the buyer is filling sea cans and shipping the stuff off and with all the bs going on worldwide maybe they’re not moving much and holding off on they’re commitment to take my grain. I don’t know maybe I’m reading into this too much but something stinks about the whole deal. I have an opportunity to sell the grain locally for the same price and need some cash flow to honour my financial obligations. I know I could probably break the contract as they are out of the period stated and no other clauses are on it stating any sort of grace period. I hate to be that guy as things can work both ways but seems they can expect you to load them in the middle of the night at a day or less notice and then wait a couple weeks or more for payment.

[bucket]

Get paid before another bushel leaves...wait for cheque to clear....then tell them to phuck off....

This is what pisses me off about the so called open market.....what is the difference between signing a contract with a quota delivery and waiting for final payments or ....signing a contract and they put you off for an extended period of time....


I get the cold as an excuse ....but once that cold snap is done it should be full steam ahead to get caught up ...

And not paying once its scaled is bullshit as well...

[jazz]

small timer buyers and brokers won't sue a farmer so I would have little concern reneging on the deal.

But before that get pmt honoured. Electronic deposit should be overnight or 48hrs at the most.

[snap]

I contracted 10 loads of barley for nov/Dec, choosing to take 5¢/bushel less than if I delivered in Jan instead. 2 loads were picked up in January.... Still waiting on the rest. When I ask about being paid storage or else topping up the payment by 5¢/bu I just get told how difficult it has been to find truckers, and that the next load will go out soon. Neighbour down the road contracted with the same company at the same time for the same price. His barley is all gone.

[jazz]

How do you guys know these brokers arent playing arbitrage with you? Contract you, let you store it for a month or two while they look for a higher price somewhere else or hedge against it or use futures. Why use them?

[FarmJunkie]

Played this game 2 years ago with Fababeans and Soft White Wht. Will never sign another contract unless they add in so much a month extra if they don’t take it in the agreed time window. They want us to be their banker and bitch and we won’t play no more. Was very frustrating when we had a plan and they F’d it up forcing us to sell other products we didn’t want to at the time.

[helmsdale]

Rather large contract of Durum was supposed to move jan/feb with a line company. At christmas time it was going to start moving first week of january. Truck decided to shit the bed, but didn't matter anyway as they pushed it till latter half of january... Truck ready to roll 20th of jan, they said maybe next week. Phoned friday and said higher up the ladder they had pushed them into 1 train of wheat, and 1 train of peas which they had next to none in store. Had to pull april/may wheat contracts, and june/july pea contracts to fill the trains... Now they're back to wheat, again from head office. Hoping next week? Bills due end of feb, and mid march...

On another note, even if you wanted to sell, is anyone finding movement for Canola? Neighbor is looking to unload some to free up some bins so he can clean seed... NOBODY is taking delivery within a 150 mile radius.

[helmach]

Played this game 2 years ago with Fababeans and Soft White Wht. Will never sign another contract unless they add in so much a month extra if they don’t take it in the agreed time window. They want us to be their banker and bitch and we won’t play no more. Was very frustrating when we had a plan and they F’d it up forcing us to sell other products we didn’t want to at the time.

So what is a fair per bu. per month charge to you guys? I'm at this point aswell

[LEP]

Actually even if they are past the contract period, the contract is still valid. But that gets less so after about a month. So keeping the phone line hot is likely the best option for now.

I have a friend who used to farm. He would literally call everyday until they just moved the grain so he wouldn’t call. He never got mad. Maybe a little winey and annoying that way. But I have to say it worked.

[foragefarmer]

Bucket

"Get paid before another bushel leaves...wait for cheque to clear....then tell them to phuck off....

This is what pisses me off about the so called open market.....what is the difference between signing a contract with a quota delivery and waiting for final payments or ....signing a contract and they put you off for an extended period of time...."

Big difference never had to worrying about not getting paid, even if you had to wait for a final payment.

I always thought the open market meant a farmer delivering when he/she so chose to, in other words within the contract period that was signed.

Open market, for who?

[AlbertaFarmer5]

Bucket

"Get paid before another bushel leaves...wait for cheque to clear....then tell them to phuck off....

This is what pisses me off about the so called open market.....what is the difference between signing a contract with a quota delivery and waiting for final payments or ....signing a contract and they put you off for an extended period of time...."

Big difference never had to worrying about not getting paid, even if you had to wait for a final payment.

I always thought the open market meant a farmer delivering when he/she so chose to, in other words within the contract period that was signed.

Open market, for who?

I didn't see anywhere in his post where he stated that it was one of the former board grains?

[WiltonRanch]

I didn't see anywhere in his post where he stated that it was one of the former board grains?

That is correct

[woodland]

Had this issue once with a line company. Had a canola contract for June and they kept putting us off until I was driving past June 29 and stopped in to see if a personal visit would help. They then told me it’d probably be August before it moved which really sucked since I had bills to pay. Voiced my opinion and started home and then the phone dinged with an email from same company that a target of mine triggered for ............ June canola. They were surprised when I came back in the office (slightly agitated) and I told them I wasn’t leaving till both contracts were tore up. Multiple calls to Regina and my wish was granted.

Wilton does the cheque come from the broker or the actual buyer of the grain? Had an issue where a broker went basically bankrupt and was four months behind on paying but persistence and the offer of more grain after we got paid (we never intended on following through) eventually worked. We got paid two weeks before he closed up shop and a lot of folks in the area weren’t so lucky. The current broker we deal with never takes ownership of the grain and will put pressure on the buyers to keep trucks coming if necessary.

Hope it all works out and keep us posted. 🍀

[sumdumguy]

Only 18 month wait for big disappointment Foragefarmer. 👎 I remember it well.

[Wheatking]

I'm having similar problems with Constantini. Supposed to be Nov/Dec delivery. Finally picking it up this week. I don't even mind the bring late so much, it's the false starts off delivery that really puts me off. Broker phoned 4 times over the past 3 months, said the same thing every time trucks should be coming this week. So I go and plug everything in, plow it the yard, and no show. No phone call, no nuthin. They finally are picking up a few loads this week. They did pick up a couple loads in Dec but the majority has yet to go.

They where supposed to pick up a load on Dec 23th. We where at a Xmas party on the 22nd a few hours away. So I pack everyone up a few hours early. Go home, plug everything in, get up at 5 Am to plow out yard because he was supposed to show at 7. 7 comes and goes, 8 the guy texts and says he is unloading soon in Saskatoon and will be out shortly. I text back that I though you where coming between 7 and 8. He says 10 is early in his books. So I cancelled a loaf I was hauling to the elevator so I could load the guy so he could get it delivered before Xmas. So I wait around until 11, text him wondering if he got lost, and the SOB said he went home because I had attitude. Not much point to my story I guess other than to vent about this trucker.