Rumour has it that CGC pulled NWT licence

[ajl]

It is a good thing grainco's locally are preventing this from happening around here by offering the poorest basis of all times thus fattening margins.

[westernvicki]

The basis needs to include a huge freight increase.

[LEP]

It's too bad about NWT. I dealt there alittle and always found them to be fair.

They ran longer hours year round because of the ethanol plant. It was alittle different being able to dump at 10pm in January. But I always thought it probably gained them business. I can also remember being in line ups 12 trucks deep at times.

Because it is a location that can be served cn or cp it will be bought up quickly.

[helmach]

I worked at the ethonal plant for 2 yrs during commission and first fire. Didn't have much to do with NWT terminal but always heard positive things coming from the elevator side. Sad to see

[wheatking16]

Been watching their information posted on sedar all winter. They have had a tonne of losses that they have borrowed to cover.

They were at the point of not having the working capital to operate at a profitable capacity. There was no way they could work their way out of the situation.

Only answer was a sale to someone like Grainconnect or G3. But they can read statements and know that they can fight over the scraps in receivership.

LEP,

Do you have insight into the source of the losses, I e. trading, lack of volume, etc?

[LEP]

LEP,

Do you have insight into the source of the losses, I e. trading, lack of volume, etc?

From the financial statements it looks like trading losses. I didn't go back in history, but 2021 was hard on the entire ag sector.

The ethanol plant lost money even though they sell alot into the micro distillery industry.

I don't have any inside information.

[wheatking16]

From the financial statements it looks like trading losses. I didn't go back in history, but 2021 was hard on the entire ag sector.

The ethanol plant lost money even though they sell alot into the micro distillery industry.

I don't have any inside information.

Thanks

Trading losses makes sense to me, but I don't know, the grain business has been difficult the past few years.

I think it is an extremely difficult, high-risk task.

The ABCD's have been becoming more vertically integrated into the country as the trading profits are not where they used to be.

Trading commodities effectively requires a lot of experience, and mentorship is crucial.

It is not for the faint of heart.

All the respect to those who can last.

Johnathon Kingsman has some great books on commodity traders, some of which I have read.

[ajl]

Well once again we learn the lesson that there are exactly zero businesses here in shitholistan that make money on there own merit. This is why there is a PHENOMENAL amount of gubmint tit sucking going on around here. NWT was likely trying to juice returns through commodity speculation which always ends badly. Admittedly there are likely a few oil and gas business that do make it on there own but otherwise no.

[Herc]

PS
Herc your marketing decisions start with the crop choice and variety you grow.
Call me anytime.

Sorry honey I know what I’m doing. Don’t need ur help recommending pulses…..btw naybors 18 bpa peas don’t pay the bills when the wheat across the fence went 70……

Sounds like if I call you, I call ritchies shortly after….

Have a nice day, I have hrsw to clean and sell…..

[blackpowder]

Ah yes, almighty wheat.
In my career mostly bouncing around break even yet we have no other choice for half our acres.
Simple tho. Far fewer risks to grow and sell as other choices. Just dump it in the pit essentially. There's a reason why near retirement farmers grow mostly wheat.
Wheat is my least risk and on average least margin. This year, -$100.
Peas on the other hand are my highest risk, highest margin on average. See the correlation?
No rock solid buyers. No hedge-ability. And yet reducing competition for wheat. As if that makes a difference. Wheat is like selling 3/8" NC nuts to the world.
Support the health of our industry no matter the grain, or just dump er in the pit and get back to fishing.
I've never sold to or planted for Vickie. Doesn't mean she isn't right regarding our hillbilly attitudes (my words) towards the industry we compete in.

[blackpowder]

Thanks

Trading losses makes sense to me, but I don't know, the grain business has been difficult the past few years.

I think it is an extremely difficult, high-risk task.

The ABCD's have been becoming more vertically integrated into the country as the trading profits are not where they used to be.

Trading commodities effectively requires a lot of experience, and mentorship is crucial.

It is not for the faint of heart.

All the respect to those who can last.

Johnathon Kingsman has some great books on commodity traders, some of which I have read.

When WA went under, from memory, a good portion of debt was trading loss. Two seperate companies from memory.
A trader told me afterwards, WA had two younger guys running accounts.
Caught up in things like CAD- AUSD swaps.
Specialty crops a tough game. And then there's stupid.

[fcr]

Just sold 5 loads of peas for almost the same dollar value as 9 loads of hsw. Zero Fert on peas so they are far and above our best money maker this year, should have had the whole farm to peas of course every area is different. Peas were in first so everything seeded early here was better .