thalpenny,
I remember 5 years ago selling CWES to Agricore(AWP then) and getting special authorization and early delivery calls for our CWES wheat.
This CWES wheat was loaded and directly sent to the USA.
WE had High Protein CWES, and AWP got a good profitable sale into the US, because this wheat was worth par with Dark northern spring, which is what it is worth today.
For equal quality Dark Northern, and CWES, with equal protein, they have the same value, because they are essentially the same thing!
But the CWB in world markets sells this high quality at discount prices, because it is different. Of course people will take a Rolls Royce at a Lada price!
The point of the US producers is that if CWES was worth more than Dark Northern Spring Wheat, they would grow it! Obviously in the US market it IS NOT WORTH MORE.
If the CWB would stop giving the protein away, and admit if a premium in the US is there, it is not the "single desk" that creates this value, but the inherent intrinsic value of the specific lot of wheat, then we could get along with our lives and start fixing our outdated system.
The way we are headed, the CWB wants to turn CWES and CPS into CWRS and have only one product to sell.
I know this would be easy for the CWB, but do you really think this will do anything but lose us mareket share and make wheat unprofitable to grow?
I remember 5 years ago selling CWES to Agricore(AWP then) and getting special authorization and early delivery calls for our CWES wheat.
This CWES wheat was loaded and directly sent to the USA.
WE had High Protein CWES, and AWP got a good profitable sale into the US, because this wheat was worth par with Dark northern spring, which is what it is worth today.
For equal quality Dark Northern, and CWES, with equal protein, they have the same value, because they are essentially the same thing!
But the CWB in world markets sells this high quality at discount prices, because it is different. Of course people will take a Rolls Royce at a Lada price!
The point of the US producers is that if CWES was worth more than Dark Northern Spring Wheat, they would grow it! Obviously in the US market it IS NOT WORTH MORE.
If the CWB would stop giving the protein away, and admit if a premium in the US is there, it is not the "single desk" that creates this value, but the inherent intrinsic value of the specific lot of wheat, then we could get along with our lives and start fixing our outdated system.
The way we are headed, the CWB wants to turn CWES and CPS into CWRS and have only one product to sell.
I know this would be easy for the CWB, but do you really think this will do anything but lose us mareket share and make wheat unprofitable to grow?
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