malt barley PRO

[charliep]

Just to highlight, it is not the CWB that suffers here. They likely don't care whether you deliver or not - the issue whether they keep barley at all, issues around the CEO, etc., etc. are more important than selling product and meeting customers needs.

The group that are suffering is the domestic maltster and the export buyer. Both signed contracts in good faith this summer and used this information to price malt to brewers. They also have opportunity to sell malt at extremely high prices and are willing to pay farmers high prices.

[charliep]

Saskfarmer, I know a few guys that did exactly what you said with the microwave.. Your getting penalized if your sample is no good.

Craig, just curious where you heard this about the $25/ton increase in the PRO?? That would be the icing on the cake if these putz's in Winnipeg would just coincedently raise the PRO on 2row this month.

You know it would remind me of the time they took of the Crow. Flash some cash in front of a farmers eyes short term, and they forget about the long term reprucussions.

[kamichel]

In my opinion if the pro swings any way it will be down. The pro shows what the price will end up at if the market stays the same and since most of the malt is already contracted the price cannot change much more than a dollar a ton or two. Yes there is a big problem on the not delivery side. I know a lot of nieghbors that submitted skewed samples to exit their six row malt so that they can deliver to the local feed mill for 30 cents more than the pro. What is the word out there on the wheat contracts, what are farmers being charged to exit those contracts?

[craig]

Snappy
The $25.00 Tonne increase in feb malt barley pro's was attributed to a comment made by Bob Cuthbert of the CWB. This came out of the Agricore and Winnipeg commodity exchange quoting barley price thread. No official announcement from the board. Same old story . Nobody else is allowed to throw out hypothetical numbers but it's free rein for the CWB

[Burbert]

I bet those that have and sell malt barley this year will do well. There is not a lot of it available worldwide. Lets remember the PRO is not chiseled in stone, it will increase to pull barley from bins and out of the feeders hands.

[kamichel]

Could be another year like 02 03 when canadian maltsters were forced to import 100,000 tons of European malt for 6.56 per bushel because the CWB could not supply the good malt was going into local feed mills.

[kamichel]

Burbert, "Lets remember the PRO is not chiseled in stone, it will increase to pull barley from bins and out of the feeders hands".

Burbert so your saying the CWB does control prices, and will only pay for it when they see fit!!

I must be confused because I thought the Board had no control over prices they just market it for us. The world controls the price.

God you Single Desk Supporters are getting me more confused every day.

[lesm]

I was at the cwb meeting in saskatoon on jan 12/07. The CWB salespeople spoke about the the malt barley prices and said there was not much chance for a big increase in prices as they were heavily sold in April and May of 2006. It's amazing that these so called experts thought that ethanol production would have no impact on corn usage!!!

[craig]

Burbert
Your comments suggest you have little concept of this market. Producers of malt barley should be doing very well this year not just well. I'm not sure how your going to drag malt supplies out of the feed market when it's already coming out the back end of a steer. If the CWB had room to move on malt barley prices(Pro's) they needed to be doing it in the fall when producers hadn't yet decided to dump into the feed market.Reality is the CWB heavily forward sold into the market before the grain rally started to happen. So much for weather surveillance and market smarts. It's just the same in the wheat market. American producers got great prices for their wheat. Canadian producers got good prices relative to a year ago but hardly reflective of what the futures market offered. Good market opportunties don't come often and you need to be able to capitalize when they do. This year we have been able to do that with grains we can sell into the open market. Sadly not so in the grains we have to sell through the board.

[kamichel]

Caseman where approx. do you live that your feed price is so low? And I thought I had the lowest malt price!