Durum & CWB C series contract

[Jagfarms]

Does any one think the CWB will will accept any Durum on the C series contract when they announce it June 18?

[Zaphod]

I think they will. They have already made an advance call of 45 tonnes per permit book. It's not much of a start, but I think it signals they have some other sales. Personally, I would get rid of all the durum I can before the end of July.

[Jagfarms]

I sure hope they do. The area where we farm mostly Durum is grown here and almost all the bins are still full of Durum. Just the pile on the ground are cleaned up. I was thinking that as well if they already accepted 45 tonnes on the C series there must be some demand for it. I just hope it is 25% or more.


Should a person haul it in on this years permit book and sell it Aug 1 on next years price?

[food4u]

That is a crap shot Jagfarms because we know the good old CWB will low ball the initals on Aug.1.

[Zaphod]

I would take this year's price. The outlook for next year is no better and you'll get the final payment a year sooner. North Africa has a very good crop and Europe's will be better too.

[wedino]

My guess is 25%. The cwb doesn't have a clue how much durum is on farms. I'm sure the majority of growers contracted more tonnage, into the b & c series, than they actually have in storage. And why does it take so friggen long to announce what they will accept, 19 days is ridiculous.

[Jagfarms]

It looks like the Durum acres are way down this year in Western Canada. There is some farmers in our area on other years would seed 3000 acres of Durum and this year they do not have an acre in. Lots of other farmers cut thier Durum acres by a 1/3 to 1/2/. Will that have much effect on next years Durum prices?

[lakenheath]

We are right in the heart on durum country here. Huge durum acres have be slashed this year. Major shift to Spring Wheat. 11,000 acre farms and larger were the big shifters.

[Zaphod]

If acres are down by more than 30% it could bring prices back a bit. I still wouldn't count on great movement though. Exports in 06/07 will likely be lower than this year.

[Jagfarms]

Looks like they called 25% for Durum on the C series.

If a person contracted 1000 tonnes on the A and checked the rollover and they called 50% of the A contract and nothing on the B. That would leave you with 500 tonnes. On the C series would it be 25% of the 500 tonnes or 25% of the total 1000 tonnes that was contracted in the A series? I am thinking it is 25% of the 500 tonnes.