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Hard White Wheat... where is it going?

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    Hard White Wheat... where is it going?

    Chaffmeister,

    I was going through my 2005 records... and came across this article:

    "-Conference Speakers Say Consistent Supply and Liquid Market Needed


    KANSAS CITY (Dow Jones) -- When it comes to hard white wheat production in the U.S., two key ingredients are still missing: a consistent supply and a liquid market, according to speakers at a recent Kansas State University conference.
    "We've got people interested, but there isn't a consistent supply," said Roy Loepp, quality director of milling operations at Shawnee Mission, Kan.-based Seaboard Corporation, referring to overseas buyers and the U.S. hard white wheat market.
    "Hard white wheat production in the United States needs to reach a critical mass point where it becomes a consistent part of the landscape," he said in a news release.
    Loepp spoke at the Kansas State International Grains Program's Hard White Wheat Export Contracting Conference and Trade Show, held March 14-16 on the Manhattan, Kan., campus. The conference, also sponsored by U.S. Wheat Associates, brought together producers, grain handlers, domestic and export wheat buyers and flour millers to discuss the challenges and opportunities facing the industry.
    Despite overseas buyers' strong interest in hard white wheat for such products as noodles, tortillas and breads, the U.S. continues to produce much more hard red winter and other types of wheat than it does hard white wheat, said Mark Fowler, IGP miller and conference coordinator, in the news release.
    Hard white wheat production in Kansas this year is estimated to be about 5% of total state wheat production, with hard red winter wheat making up the rest of the crop, said David Frey, administrator of the Kansas Wheat Commission, in the release.
    U.S. hard white wheat production this year is an estimated 1.01 million metric tons, said Ron Stoddard, executive director of the Nebraska Wheat Board. That compares with the U.S. Department of Agriculture's estimate of 2004 hard red winter wheat production at 23 million metric tons.
    Seaboard Corporation is widely known as a hog production company, Loepp said, but it has a long history in the milling industry. He said better promotion, developing more varieties of wheat and making widely available wheat performance data would help the U.S. wheat industry expand hard white wheat production.
    Kelly Spitzer, vice president and grain merchandiser of Tempel Grain Company in Wiley, Colo., said in the news release that five of Tempel's 11 elevators in southeastern Colorado will handle hard white wheat this year. Two of its locations (in Towner and Sheridan) will be devoted to hard white wheat only, while its elevators in Haswell, Wiley and Springfield will take in hard white wheat and others. Tempel will take steps to segregate the hard white wheat from other cultivars.
    "We've made this commitment to the producers in the area," she said.
    Tempel is looking to California and Mexico as its best market prospects, Spitzer"

    What has changed?

    Nothing!

    In fact it is even more important to the health of those in North America to grow Hard White Wheat.

    The CWRS Red Bran has tanin in it, CWRS whole grain brown bread takes much more SUGAR...

    I have been told up to 3 times that of Hard White whole grain bread... to attain the same taste.

    With Obesity a VERY important issue... and Diabetic problems right behind... it is critical that we get our hard white wheat supply up; NOW.

    AND the CWB dumps the CDN program...

    From 2 million acres to .5:
    because of past weathering problems and politics... it likes marketing CWRS into premium markets... and doesn't want Hard white to make us healthy?

    HOW INSANE.

    I for one believe this move by the CWB was evil, mean spirited... and deserves a sober second thought.

    THis CWB decision could cost our health care systems in North America millions upon millions... if we let it stand.

    And for spite?

    #2
    I thought the beauty of HWW was it's ability to withstand weathering?? Or is sprouting the problem?

    Why is there still a full page ad in the producer if the "experts" are telling us the market is gone? Where does the market go in a year?

    Comment


      #3
      Hey TOM4CWB, I understand (read that as listened carefully) Ontario is still growing it and will be this spring, that the millers like the product, and that we in Western Canada are simply not interested in growing it.

      Would the real HWW story please stand up. I find this one very confusing and with the CWB in the middle am isolated from the customer and what they want. Don't know what to believe!

      Comment


        #4
        I'd like to know the real story also. A large percentage of my cereal crop is Snowbird. I like it. Going into last spring, carry-out stocks were nil. I am darn sure the world market was not flooded last year. I don't get it.

        I also don't understand why the CWB can't get us a premium for growing it (a decent premium anyway). Seem to be a pretty good demand for the stuff. Again, I don't get it. The premium, I believe, is lost in the "Great Black Hole" the CWB calls "pooling". Sad.

        Comment


          #5
          It is likely that the board was only selling this product into a couple of markets. When these market figured that they were the only buyers they decided to whine about quality in order to extract price consessions. Works every time in this business. Our snowbird was #2 with 14.4% protein because of 0.5% sprouts so it seemed that the quality factor was some sprouting. What the board needs to do is market the balance of our crop to Ontario and US millers now in order to force the overseas mills to pay what it is worth. It is likely they do not market in Ontario because Ontario farmers do not want competition from us in the hinterlands.

          Comment


            #6
            Just curious if you did a falling number test on your snowbird. .5 % sprouts is a warning sign but visual is still very subjective/not a true test of quality.

            Comment


              #7
              Charlie;

              The falling number is unofficially part of the grade now; from what I can tell.

              The falling number is not the quality concern... it is gluten strength.

              My understanding is that as the kernel weathers, it's gluten strength falls.

              The sprout resistance that was bred into Snowbird... allows more weathering to occur; before it sprouts, which can cause the kernel to be lower in gluten strength... than if it sprouted more easily.

              Simply put, if Snowbird sprouted more easily, it would be feed sooner... which would cause less problems with gluten strength... as the more weathered grain would not make milling grade in the first place because of sprouting.

              My GM friend make it clear he wanted a higher gluten strength WHITE blending wheat... this would attract the highest premium price possible.

              Hence on a rainy year, the intrinsic quality of Snowbird falls as the moisture washes or bleaches out some of the gluten strength.

              Hope this is factual... someone can correct me if I am wrong!

              Comment


                #8
                Thanks for explanation Tom.

                I have heard some of the same concerns about domestic miller acceptance/inability of hard white wheat to get the price signal and delivery opportunity through to farmers. Realizing there are domestic miller contracting programs for soft white wheat, I am often confused as to why their are not more domestic contracting programs for millers. It may be the domestic milling industry is the ultimate commodity buyer. It may be that blending ability by the supply chain is the driver. There is a lot of muddying of the water in terms of what a farmer produces/has on inventory and what the customers real needs are as supported by willingness to pay.

                Comment


                  #9
                  But TOM4CWB, we don't know what this year will bring or the quality, so why kill the program based on the last 2 years. If there is a need for good quality HWW, shouldn't there be the opportunity to capture its value based on what will be produced vs. what was produced?

                  More specifically is there customer pull for this product?

                  Comment


                    #10
                    Just curious as to how many farmers are aware of the consumer drivers that are behind the movement to hard white wheats?

                    I note both Alberta canola grower and Alberta barley commission have invested in consumer research projects and have brought out speakers to their district meeting that highlight consumer trends (particularly for some of us slightly over weight baby boomers). As I have indicated before, I am becoming more of a label reader at grocery stores.

                    Comment


                      #11
                      WD9;

                      The CWB wants CWHW wheat to be a NEW market segment... that does not compete with CWRS. Hence the Asian emphasis on Malasia Indonesia etc. as far as I can understand CWB sales strategy.

                      The only issue that caused the drop in acres from well over last year... to the half million now requested by the CWB... is that the Conservatives were elected on Jan 23 2006.

                      Really, if an analisis were done... and I wouldn't put it past the CWB that it has already been done; Hard White Wheat growers are by far a majority those who are for market choice: and don't strongly support the "single desk".

                      This would be a big reason for the CWB to choose a seperate pool for CWHW in 2007-08... and the case will be made that the Asia Pacific market doesn't pay as well as premium CWRS markets... leading for a discounted pool with subCWRS prices... instead of premiumCWRS pricing.

                      The CWB is choosing the market strategy... and can create what ever markets it strategically believes will support the "single desk"... and strengthen the grip on core support for the "single desk".

                      This is all about the "single desk".

                      Comment


                        #12
                        lakenhealth,

                        Are you ajusting your snowbird acres this year? If so, up or down?

                        I thought that the premium that has been offered was disapearing b/c of the increased acres being grown in western Canada.

                        Comment


                          #13
                          Hi everyone. New poster here on the forum but have been lurking for quite a while gleaning info and reading some very good discussions on many topics.

                          As a former Snowbird grower, I too am dissappointed in the CWB's handling of the situation. We started growing it 3 years ago with good results and were lured in by the $7/tonne premium, yield, movement (100% call when you haul), storage premium, harvest-ability, and so on. We did have issues with sprouting this past crop year but given the monsoon conditions it went through here SE of Calgary in August/September coupled with it being swathed, I would have been surprised not to see some sprouting. We truly liked this variety and the niche it seemed to be fitting. Then came the changes, premium reduced to $2.50/tonne, no more storage premium, more "stringent" grading, continued high seed costs, and then reduced acres.

                          It's like they pulled the plug on this venture and we will not be pursuing any further production of the HWW.

                          Too bad.

                          Cheers,

                          Steve

                          Comment


                            #14
                            TOM4CWB, considering what I 'heard' from customers - millers and their wants of white wheat, what you said may be scarily true, or at the very least a good hypothesis.

                            Maybe in a few years we will be growing more white than red.

                            Comment


                              #15
                              nw9flynn,

                              I am increasing my Snowbird acres this year by quite a bit. I have had good agronomic success with it. It grades well (a real nice change from the durum grading process and even the hard red sometimes), and I can deliver it close to our farm (closer then to where we deliver durum and hard red). It is a good fit for our farm. Hopefully it continues to work out for us.

                              My hope was to get on the Warberton program this year. I am on a waiting list, but couldn't manage to snatch any acres this year. Hopefully next year. I won't even get into venting about the CWB and the Warberton program. Enough to make my blood boil.

                              Comment

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