What PRODUCTS does the CWB market?

[parsley]

Vader,you know me well enough to know I didn't forget my questions from a previous post (even though I am in Massachusets today), (and I'm sure you didn't either), but you chose to ignore them.

Both Thompson and Steinke are listed as the Managers Of PRODUCTS.

Jim Thompson, Senior Marketing Manager, Domestic and Export Wheat Products
Rick , Marketing Manager, USA
Bob Cuthbert, Senior Marketing Manager Barley / Products

#1 What products do the CWB market?

(Pearled barley? Flour? Or what?)

#2 When did the CWB start marketing PRODUCTS?

I think Tom4CWB and AdamSmith also, would both be interested to learn what "products" the CWB markets.

Parsley

[Vader]

from www.thefreedictionary.com

Noun 1. product - commodities offered for sale; "good business depends on having good merchandise"; "that store offers a variety of products"
merchandise, wares
cargo, consignment, freight, lading, shipment, payload, load, loading - goods carried by a large vehicle
commodity, goods, trade goods - articles of commerce
contraband - goods whose importation or exportation or possession is prohibited by law
feature - an article of merchandise that is displayed or advertised more than other articles
irregular, second - merchandise that has imperfections; usually sold at a reduced price without the brand name
line of business, line of merchandise, line of products, product line, business line, line - a particular kind of product or merchandise; "a nice line of shoes"
mercantile establishment, outlet, retail store, sales outlet - a place of business for retailing goods
number - an item of merchandise offered for sale; "she preferred the black nylon number"; "this sweater is an all-wool number"
refill - a commercial product that refills a container with its appropriate contents; "he got a refill for his ball-point pen"; "he got a refill for his notebook"
release - merchandise issued for sale or public showing (especially a record or film); "a new release from the London Symphony Orchestra"
dreck, schlock, shlock - merchandise that is shoddy or inferior
software product, software package - merchandise consisting of a computer program that is offered for sale
inventory, stock - the merchandise that a shop has on hand; "they carried a vast inventory of hardware"
top of the line - the best (most expensive) in a given line of merchandise
piece goods, yard goods - merchandise in the form of fabrics sold by the yard

[chaffmeister]

Parsley:

First - I think you mean Thompson and Cuthbert (not Steinke) who have the word "product" in their title.

Second - Vader, there's a reason that these two staffers have the word "product" in their title and not all the others.

When a domestic flour mill or maltster wants to sell flour or malt (domestic or export), the CWB sets the price. For example, when Labatt's calls Canada Malt to buy malt, Canada Malt then calls Bob Cuthbert at the CWB to get a price for 2-Row malt barley. The CWB sets the price of the malt to Labatt's, giving Canada Malt a "toll" margin. The CWB will say this is important because they will price domestic malt to the brewers differently than malt for export.

In this way, Bob Cuthbert at the CWB is responsible for (or at least involved in) the marketing of the product. Thompson does the same thing for flour, either domestic or export. They both set the price of the product - as well as the price of the commodity.

(Vader - next time, just ask.)

[JACKFLASH]

What was Vader doing? Being smart? Sarcastic? Evasive?

[parsley]

chaffmeister,

Do your words suit what you want to say, chaff?

You are describing the WAY the CWB sets the price of the farmer's malt barley. Toll. But let's be clear, barley is NOT a 'product'. The Act refers to barley/wheat or their PRODUCTS.

I queried Vader about products.

You answered about barley.

Malt barley is NOT malt.

The CWB does not market malt at all, that I know of.

The CWB legally buys barley from the farmer and pools the barley proceeds, as per the CWB Act.

The CWB sells that barley to Canada Malt, who then make malt.

chaff, I presume you don't think the CWB buys, sells or pools the malt itself.

In other words, the CWB does not market the actual malt, that I know of, (unless the CWB has a secret malting-vat pool somewhere, funded by the BNP bank).


So again, my question, and it is a question farmers all need to have answered, to Vader is:

1 What products do the CWB market?

(Pearled barley? Flour? Or what?)

#2 When did the CWB start marketing PRODUCTS?

Parsley

[parsley]

JACKFLASH,

This is one question Vader wants to avoid answering.

Parsley

[wd9]

Parsley, #1 Spin, #2 Forever. LOL.

[parsley]

wd9,

Aren't you a little curious about what "Marketers of Products" do all day long? I am.

Products can only be related to wheat/barley.

Is the Liberal Party a "product"?

Parsley

[chaffmeister]

Parsley:
Yes, I believe what I wrote is what I intended to say. The CWB sets the price of the malt and flour – these being the “products” of wheat and barley. It does this in order to also set the price of the commodity – wheat and barley. It would argue that if it didn’t know what the product’s value is, then how can they extract the most value out of the commodity?

I think I understand what you’re saying – and I agree – the CWB does not “market” flour or malt. But because it gets involved in the pricing of these products from the domestic processors, it sees itself as marketing this stuff. But really all they are doing is setting the price of the commodity relative to the value of the product.

………”I queried Vader about products.
You answered about barley”………

I thought I answered about products (malt and flour).


………..”The CWB does not market malt at all, that I know of”……….
This is what I’m saying – but they price barley relative to benchmark prices and the value of the products. I wouldn’t call it marketing of the products either, but apparently the CWB does.

…………”chaff, I presume you don't think the CWB buys, sells or pools the malt itself”………….

As I said, the CWB sets the price of barley based on the value of the malt and the wheat based on the value of the flour – and, I’m told, the CWB tells the maltster and miller what price to sell the malt and flour. So – you’re right – the CWB does not sell malt or flour – but it “markets” on the basis of these products.

And Jackflash, to answer your question about Vader, there’s a very good reason why we call him Evader.

[wd9]

Ok parsley, because it is Christmas and because the smell of Ham is in the air. This is right from the customer brochure: http://www.cwb.ca/public/en/library/publications/popups/cust_sales_brochure.jsp

The CWB's capability to provide technical assistance and after-sales service is unparalleled within the international grain trade. The CWB works in conjunction with other agencies such as the Canadian International Grains Institute (CIGI), the Canadian Malting Barley Technical Centre (CMBTC) and the CGC to offer technical assistance for customers. CIGI's facilities in Winnipeg include state-of-the-art pilot-scale milling, baking and pasta making equipment. The CMBTC's facilities also include world-leading pilot-scale malting and brewing equipment. The CGC, with its Grain Research Laboratory, is responsible for quality control, conducting research into optimizing the processing benefits of western Canadian grain, providing quality testing services and monitoring to ensure that Canadian grain exports meet the strictest international safety standards.


It isn't that the CWB markets products, it is like 3M providing molecular advice on monomer composition techniques for plastics they developed. They sell raw materials and strategies to make stuff better, but in helping the customer use and apply the products from the raw material and hence more raw material and patented ideas are sold.

CIGI alone is a jewel, and while it does not require the CWB in order to function, if the CWB did disappear, I would hope the Wheat Council of Canada would take over that task. In essence then the WCofC would have people working for them in the products department. Much like the utilization dept at the Canola Council.

Ahhh, the smell of ham with just a hint of chocolate from the living room!

[wd9]

Come on Vader, cheer up, it's Christmas!

[TOM4CWB]

Chaffmeister,

A big reason we have a problem in barley for human consumption today is because of the grain "product" price discrimination the CWB offers.

How can the CWB justify selling barley (or wheat for that matter) at a 25% discount to an end use in China... when the Fair Market Value is 25% higher? This is like the Dairy people subsidising milk into the export market at a substantial discount.

Since we KNOW the export sales of milk at reduced rates is illegal under WTO... why isn't Malt to China being subsidised by domestic and North American sales in the CWB pool illegal in principal as well?

This from my Newsletter in AU;

New Season Barley Pools ABB have increased new season pool estimates by $8/t for malting barley, and $3/t
for feed barley, to $328/t gross for malt 1 and $241/t gross for feed 1.

Do you know where the Difference between $328AU ($.9022=$295/tCDN) and our CWB PRO @ $205CDN.

Can anyone argue CWRS wheat is any well managed when our new PRO says a 1CWRS13.5 is worth $216/t... after reading the AWB report below?

New Season Pool Estimates and Cash Pricing In their tender on December 13 th , AWB were asking $287/t for H2 wheat at Geelong. AWB are supposed to sell into the domestic market at the same price they can achieve for pooled wheat in other markets if they are in fact maximising returns to growers. So, $287/t should represent something close to the pool EPR. In fact the pool EPR is $247/t, so AWB are currently taking $40/t between what they sell wheat for and what they are paying to growers, before deducting another $40/t for storage and handling costs and finance charges. That means that AWB are allowing $40/t for their own costs and for any hedging losses they may be sitting on.
The $287/t at Geelong is actually lower than we would expect given that AWB are paying growers $283/t for H2 delivered port. That would put the cost of that wheat to an enduser well above $310/t ex Geelong.

Why are we $100/t short? Our 05-06 marketing year grain just cleared through our ports by Nov. 1 2006... from my understanding of how our pool systems work. I was delivering 05-06 wheat in the last few days of September... in case anyone forgot!

[wilagro]

"The CWB's capability to provide technical assistance and after-sales service is unparalleled within the international grain trade. The CWB works in conjunction with other agencies such as the Canadian International Grains Institute (CIGI), the Canadian Malting Barley Technical Centre (CMBTC) and the CGC to offer technical assistance for customers. CIGI's facilities in Winnipeg include state-of-the-art pilot-scale milling, baking and pasta making equipment. The CMBTC's facilities also include world-leading pilot-scale malting and brewing equipment. The CGC, with its Grain Research Laboratory, is responsible for quality control, conducting research into optimizing the processing benefits of western Canadian grain, providing quality testing services and monitoring to ensure that Canadian grain exports meet the strictest international safety standards."

It would be a terrible shame to lose the CWB and its great service to Canada and its farmers.

Perhaps you anti-CWB pipples should take a good look at what we are about to lose IF Harper and his MINORITY gov't gets its way.

[wd9]

Wilagro, read a little closer. It isn't the CWB providing those services. Those other institutions would continue to exist with or without the CWB and would continue right along as usual although the industry would need to take leadership in defining priorities and secure funding.

[chaffmeister]

wilagro:
you quote the CWB here ........"The CWB's capability to provide technical assistance and after-sales service..."..........
and then say it's a shame that we're losing it.

1. Are you aware that those nasty multinationals (you know, the AE's) travel to foreign customers to provide exactly that - technical assistance?

2. Are you aware that the CWB marketing people (include Measner here) ALSO make the trip over to these foreign buyers?

3. Did you know that sometimes they would see each other in the airport or at the customer's facility?

4. Did you know that this is totally redundant?

5. And did you know (and I love this one) that the CWB often hires consultants to provide this "technical assistance" - because the CWB doesn't have the expertise in-house?

So who wants to see the CWB's travel expenses for the last five years (who, where, when and how much)? And who wants to see the list of consultants and what they provided?