Hey Charlie, where would that $193 per tonne price in the U.S. be located? That’s higher than the feedlot alley price!
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The price is Portland, Oregon. You can find the quoted price on page 14 of the Feb. 1 issue of the western producer - far right column under international grain prices. Note that is also FOB so need to take costs to load a ship. Price around $230/tonne Canadian.
Lets see. CWB price - Cdn $230/tonne fob. Agricore United price - about $230/tonne fob. WCE price - about $222/tonne instore (need to add cost of loading a boat). After 3 sources, I think the west coast for feed barley is about $230/tonne fob or Cdn $215 to $220/tonne instore. Current initial payment $190/tonne for feed and $205 for malt.
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Charlie,
THe initial SHOULD be as you said... with the start of new barley pools!
How could we not be closer to world value?
With decent risk management the CWB should be able to turning barley through the system at warp speed!
The CWB can cash buy any day of the week... why wouldn't they?
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