"A" series CWB Contracts.

[TOM4CWB]

Charlie;

With the Nov. 8 standards CGC meeting setting 04-05 wheat quality standards... which are not known now, how do we sign an A series not knowing IF IT WILL BE FEED after Nov. 8th?

We are getting the "trust us" signal from the CWB... but why not delay the "A" series at least until we see what the new grades look like?

Would this not be a better way to deal with the uncertainties of 04-05 grades?

Falling numbers not a part of the grade really stinks... as we are not able to know where we stand on milling quality!

On our farm good milling quality may well go to the feed mill... and poorer quality to the human consumption market... just because it is difficult for us to find out the falling number!

At least the CGC/CWB should allow us this simple indicator of quality... BEFORE we are required to decide what wheat we dedicate to them...

Or what have I missed?

[Ration-Al]

Tom,

why would you not simply get the falling numbers on your grain checked and use that information to market your grain.

If it is feed grain with good falling numbers you probably want to market it to someone who is looking specifically for that quality and is willing to pay a premium for it. You would not want to sell it as "Canada Feed"

If it is #3CWRS and the falling numbers are bad then you are way ahead by ignoring the bad falling numbers and marketing to the board.

The real problem is the fact that the Hagburg (sp?) falling number test for grain that is borderline is inaccurate. The test has a built in error factor of /- 20. In a borderline situation a variation of 40 in the falling numbers is the difference between something that actually has milling quality and something that does not.

The problem is further agravated by the fact that so few of these machines exist and there is a substantial cost and a lengthy turn around.

Most buyers are unwilling to venture into a segregation system based on this degree of uncertainty and risk. Rather they would hope that the KVD system along with the inherent blending and averaging of our gathering system gives them on average the minimum falling numbers that they expect for any given grade of wheat.

[charliep]

Will leave your question for others. Only comment is that deadlines have been known to change.

Also would be encouraging all managers to get samples graded/quality characturistics checked outside the normal just take it to an elevator. Know the quality characturistics of your crop and market it according. Your buyers are just going to assume it is at the lower end of the spectrum/try to buy cheap. It is a year knowledge about your product and hussle will pay dividends.

[timm]

take samples to usa to get FAIR grading ,falling #s etc.the wheat board even has a special code to take less than 5kg samples across the border.

[sshiels]

CWB just put out bulletin saying that you will be able to get out of your contract if your wheat turns out to be feed after you sign up.

[TOM4CWB]

ssheilds;

The CWB can be fair; if we require them to respect us.

I remember 2002, A series sign-up was delayed... Oct. 31st is not a magical date... Just like flat pricing of grain should continue all year long... not stop on Oct. 31st.

We can require the CWB to do better... and they will!

[crusher]

sshiels,

I would like to see written confirmation of the option to get out of a contract in case of feed wheat. I just looked at the CWB web site and couldn't find anything. Could you let me know where to look?

[jgstuart]

http://www.cwb.ca/en/news/releases/2004/101304.jsp

[charliep]

With regard to signing an "A" and then being able to get out of if crop grades feed, see - http://www.cwb.ca/en/publications/regular_updates/index.jsp

[TOM4CWB]

CWB FINE PRINT in the news release says;

"This applies to farmers who have Canada Western Red Spring wheat that is graded Canada Feed or durum growers with grain that is graded No. 5 Canada Western Amber Durum."

What about CPS, CWES, Hard white, CWRW... how could they limit it to these two classes only?