I can't disagree with your point on technology. In the new global market which includes internet, it is hard to keep basic technology secret.
On the grain, there is a need for more discipline among the newly emerging grain exporters. The issue in the Ukraine is cash flow and grading standards that don't necessarily mesh with the world. Farmers have to sell for cash, grain storage facilities are poor and the Ukraine typically dumps onto the market in the fall. Working with them to understand quality needs of customers/value and improved systems of storage all will contribute to more disciplined marketers versus simple dumping.
On the bio diesel/ethanol front, I would argue increasing Ukrainian production is a good thing for Canada. The Ukraine has heavy reliance on Russia for fuel - not a good thing is you are wanting to be independent from your former master. Much can and will be used domestically. There is a protein deficit in the Ukraine for livestock so this product has a home.
In terms of Europe, I don't think anyone knows/understands the impact of their bio fuel commitments. Oilseed production around the world is going to have to be going full out just to meet this need. If Europe falls far enough outside meeting this target (realizes unachievable), then they are likely to back off on the policy. To create the bio fuels industry, the big push should be on the demand side. Right now the demand side is based on government regulation (Europe) and subsidies (US 50 cents and US $1/litre subsidies). If the above incentives were taken away, bio fuels would not make progress in either one of these countries. World oil prices are still too cheap.
On the grain, there is a need for more discipline among the newly emerging grain exporters. The issue in the Ukraine is cash flow and grading standards that don't necessarily mesh with the world. Farmers have to sell for cash, grain storage facilities are poor and the Ukraine typically dumps onto the market in the fall. Working with them to understand quality needs of customers/value and improved systems of storage all will contribute to more disciplined marketers versus simple dumping.
On the bio diesel/ethanol front, I would argue increasing Ukrainian production is a good thing for Canada. The Ukraine has heavy reliance on Russia for fuel - not a good thing is you are wanting to be independent from your former master. Much can and will be used domestically. There is a protein deficit in the Ukraine for livestock so this product has a home.
In terms of Europe, I don't think anyone knows/understands the impact of their bio fuel commitments. Oilseed production around the world is going to have to be going full out just to meet this need. If Europe falls far enough outside meeting this target (realizes unachievable), then they are likely to back off on the policy. To create the bio fuels industry, the big push should be on the demand side. Right now the demand side is based on government regulation (Europe) and subsidies (US 50 cents and US $1/litre subsidies). If the above incentives were taken away, bio fuels would not make progress in either one of these countries. World oil prices are still too cheap.
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