25 YEARS OF EXPORT COMPETITIVENESS AND WHAT DO YOU GET . . . .

[agstar77]

T4 said" U.S. has no subsidies propping up wheat prices". If you believe that, you definately are not Director material. If there was no cheap food policy there would be no subsidies and food shelves would be bare until prices came up to cover costs.

[wedino]

Agstar, please explain how US wheat prices are propped up via subsidies.

[mustardman]

Tom if you think the US grain

industry is upset with the CWB for

undercutting the market. Don't you

think the CWB would have lost the 14

court challenges instead of winning them ?????

[craig]

mustardman I guess you need to define undercutting. CWB could sell higher quality at same price as U.S. Is that undercutting or not.

[chaffmeister]

USDA wheat loan rate = $2.75/bu.
Kansas futures = over $5.00/bu.
Chicago futures = over $4.50/bu.
Mpls futures = over $4.90/bu.
Every US cash price I can find = over $5.00/bu.

Subsidies propping up wheat prices?

Does not compute.

[mustardman]

Craig these court challenges are long and tenuous, all sales are looked at
over certain time frames.
If there was even a hint of undercutting due to grade substitution there lawyers would catch it.

Maybe if we didn"t have groups like the wcwga going to North Dakota grain meetings spreading disinformation about CWB getting their farmers all worked up , we wouldn't have all these court cases. Or maybe we should pass the costs on to wcwga who then pass costs on to CP rail or CN rail or Alberta gov't or to whom ever else sponsors them. It sure the hell isn't farmers.

[TOM4CWB]

Mustardman,

It is sad to see you tear hard working, caring people apart.

Please try to understand... we are your brothers and sisters who simply need our civil and property rights respected.

Canada has no moral high ground to stand on in human and property rights...

China watches and cheers as the CWB sets up special deals... that enforce the "Lowest price is the LAW policy" with our neighbours to the west across the Pacific.

Of course China is actively working to prop up the "single desk" buying monopoly.

Ever wonder why?

Do you think for a second...this isn't about a cheap low cost supply of food for China?

These people from China are some of the best managers, they are shrewd, they are self diciplined, they are smart.

They will not spend one cent more than they have to... and use every possible tool and management opportunity to extract value for those in China they represent.

[mustardman]

Tom you avoided answering my question.

If the CWB undercut the US markets why
do we keep winning the court challenges?

[TOM4CWB]

Mustardman;

Why do US Millers like the CWB sooo much?

It's called P R O F I T.

When we went down to Kansas... it was crystal clear they were prepared for us... and appreciated the CWB's opportunity to average DOWN wheat US supply costs. The threat of delivery is all that is needed.

You don't think the US has a cheap food policy?

THink Again... the CWB is a big part of the tools the muti-nationals processors use to pad their pockets.

[mustardman]

Tom you avoided answering my question ,
why do we keep winning the court challenges???

[AdamSmith]

mustardman, here's a whay I posted on that subject about a month ago.

Well Agstar your right they didn't win any challenges but then again I think they were trying to prove that the cwb was selling wheat ito their market "for a price lower than the cost of production" or aquisition I not sure which ie. dumping. That couldn't be proven because the cwb's cost of aquisition are the super low initial prices. And production well I think every kernel sold by every seller world wide was lower than the cost of production.

I don't think they ever tried to prove that the cwb undercut in what would occur normally with in a competitive enviroment.

The point is in a competitive environment everyones cost of aquisition should be within a reasonable range ie. within a few cents per bushel, but the cwb's aquistion price is $1.5 a bushel below the amricans (the initial) but as was rightfully judged it wasn't below the cost of aquisition.

So just because the cwb was not found guilty on the charges doesn't mean the cwb doesn't do what the americans claim, it just means it is well within the rules and the trade agreement laws for the cwb to conduct business the way it does.

But as a Canadian Farmer I don't like the fact either, that the cwb isn't disiplined by way of real aquisition costs and real risks. Not one job is on the line because of poor preformance, the only thing that seems to matter is, are your politics correct.

I've wanted the sales book to be open for all to see, no more secrets, just show us the sales info, all sales info and then we're actually talking facts and actual preformance but the cwb refuses to do that, for canadian and american farmers alike.

So without real data to debate we just keep on debating theory, but hopefully the era of a neverending debate over political theory is comming to an end and farmers will be allowed to consider real facts (prices and sales preformance) not theory.

[TOM4CWB]

Mustardman;

Your right... I am too suttle.

The US did not want to win. And for 101 reasons 100 of them political... and AdamSmith's the 101st reason.

[cottonpicken]

The global price of any commoditie is set in the market place by professional traders who are simply trying to make a return on capital.There are a LOT of variables to consider.The obvious supply and demand fundamentals are not the most important.Ask your self this question-If interest rates were 20% what would you want to own commodities?land?No! you would want to own bonds because 20% is a very,very good return.Many farmers got caught in the early 80s with high land prices and high interest rates and a believe that the price of grain would rise forever.

So entered a long painful bear market.And now the believe among farmers is that things will never change back to a bull market.But all the factors that drive bull markets are now in our corner.

When the u.s dollar breaks below 80 on its index fasten your seat belts.