FPC basis

[craig]

While Ken Ritter has suggested that the new changes in the FPC will encourage more producers to participate, I would suggest that a better system to establish the basis would give more confidence to producers and allow people to participate in true risk management. The fact that the basis is tied to the PRO is an indication that the Board continues to put in place a system that wants to make sure forward pricing never looks better than pooling. Why can we not have a system similar to Ontario with a constant basis over time. The CWB has the tools to hedge this program so that they are at no risk. They would still get the grain and producers would have the ability to lock in profits without competing against the pool accounts. I would suggest it is a compromise a lot of producers could live with.

[boone]

craig: "Right on", move to the head of the class. And drag parsley kicking and screaming with you.

[TOM4CWB]

Whoa ole Boone....

Organic is totally different than commercial production... even you must admit!

It is insane for an organic producer to hedge wheat through the CWB to manage a buy-back risk that is created only in there CWB minds in the first place.
Further Organic growers normally try to get as far away from commodity pricing as possible, specialty products are what they grow, IP, Certified Records back for years, 3rd party inspections, and small volumes relatitively speaking!

Apples and Oranges apart I would say!

Which is why CPS Red/White, CWRW, CWES, and non-registered varieties of wheat are a disaster through the CWB!

How do you fairly pool something that may only be one boat load (or less) for the whole year?

[parsley]

craig,

Tinkering is interesting , but basically, don't you want to do like the seedgrowers do in the Designated Area?

Take your truckload of seed, get an export license from the Wheat Board, pay nothing for the license, export your grain, and pick up your cheque, when you're there?

Any Ontario farmer can opt out his whole crop.

Why should farmers out west settle for less?

Rather like marrying the ugliest girl because she was the first one that your parents picked out for you and you had no choice.

If we settle for tinkering craig, we'll always be married to the Boarded albatross, is my screaming and kicking point.


Wouldn't you prefer having the seedgrowers' option, boone?

Parsley

[boone]

Parsley: On another note I would sooner have your wifes parents.lol
Seriously, I have wondered about our seed growers exemptions out here in west. I hear very little complaints from any and all, which tells me they are probably making out like bandits! I agree organic must be a struggle, but if we are talking real margins, it should balance, should it not?

[parsley]

Torkelson would have put $6060 more in his pocket for exactly the same grain if he lived in Ontario. I don't think that is equalling things out.

The details are in:

http://www.farmersforjustice.com

on the front page under an inorganic heading. I've never met him but this is is quite the read.

Parsley

[TOM4CWB]

Boone;

You talk about seed growers...

The CWB suggests that our Canadian varieties create special value because of the inherent genetic special CWRS properties.

Now why exactly would we export seed stocks of CWRS varieties to allow Montana/North Dakota farmers the competitive ability to "undercut" the CWB or "designated area" farmers?

And then on to give seed growers a free export license... to create 50-100 times the amount of CWRS to nip at our heels... over the world... if they wish!

Have you figured out what exactly is going on here?

[boone]

Tom4cwb: For the same reason we have so many well paid divorce lawyers, every body thinks the other guys action looks inviting. All kidding aside we have some decent varieties, and we can't always keep them home. Hard white spring, Vista, Superb, Prodigy, etc.

[TOM4CWB]

Boone;

But what is the rest of the story?

That even with free access to CWRS Varieties, US farmers can make more money, more often, selling a (different)lower quality wheat.

If CWB buy-back extortion ($60/t)did not exist on Canada feed (which all US varieties are automatically graded) we would be working with the US on all these Chinese sales... with a great basis for both this year and next!

Would have been nice to have seen that extra $1/bu that is avaliable south of the 49th.... no?

[boone]

T4cwb:Yes, this would have been a perfect year to test the waters. It would have make dual-m look good but would have kept top quality in the home pipelines, me thinks.

[craig]

While I would agree that I would prefer to have a choice in how I market my wheat and barley, I also understand in reality that things have not changed on that front for years. Many producers support the board and given the right direction I think the board can possibly still fill a role. If we had a working fixed price option for hard red spring Wheat and Durum and allowed all other crops marketing choice, I think I could live with that situation. If we can also move from a system where the board pushes the agenda to one where the board is pulled by the will of farmers( Ontario) then we are headed in the right direction. I find it frustrating that both sides are so entrenched in their positions that we end up in a stale mate. I would like to be able to turn by focus back to managing my farm and moving forward.

[parsley]

I want to take this one step further, boone and craig.

Seed growers can get the license, export and go to Cancun. I don't begrudge them at all.

But as far as I know they also have the option to sell through the CWB. They can contract with the Board, using the various options.

In Ontario, you opt right out.

Seedgrowers here can opt out what they want plus jump into pooling when they want plus jump into fixed pricing when they want.

I'd like the same, craig. No settling for less. How about you? Are you willing to just tinker, and settle for your contracts being written on blue paper instead of white and forget about the big issue? Ration AL will be relieved if you jumped at the smokescreen.

Parsley

[TOM4CWB]

Craig;

With you totally.

Tonight at Forestburg... it was an interesting tale that was told.

This CWB marketing issue is not about logic or good business sense.

It is an emotional issue... tied up in a religious belief type system... almost as bad as the Protestants fighting the Catholics in Great Britian.

Fear, is the main driver... as it is with retaining CWB marketing.

Fear of a demon that cannot be proved or disproved...

As the CWB's Ritter and Oberg said tonight again, the CWB cannot exist with market choice...

ANd the CWB will prove it!

They would rather destroy the CWB than have proof that they lied to us all these years... yet we still know what the CWB says is false!

Beans in Southern Alberta are the perfect example!

Pooling for over 80% of Alberta production... on a voluntary basis... by contract.

Market CHoice does work. Example after Example around the world do exist.

And the CWB keeps hammering on the Ontario Wheat Board, saying they are finished.

The Ontario Wheat Board is only dead if that is what farmers want.