• You will need to login or register before you can post a message. If you already have an Agriville account login by clicking the login icon on the top right corner of the page. If you are a new user you will need to Register.

Announcement

Collapse
No announcement yet.

Canaries in the elevator shaft.

Collapse
X
Collapse
 
  • Filter
  • Time
  • Show
Clear All
new posts

    Canaries in the elevator shaft.

    ?The grain handling sector, from pulses to terminals, is overbuilt. I doubt anyone is making money, as elevators are operating at reduced capacity. Costs are up across the board, and the carbon tax is an operational slug through the whole value chain.

    It's a question of viability and staring at the face of tariffs makes that question for too many: immediate.

    I expect Cargill management looked at the pulse balance sheet and decided to put the plug on peas. Ingredion did the same a few weeks earlier.

    Cargill & Ingredion shuttering in Saskatchewan are both canaries in the mine.
    Amazon is another canary, albeit in a different sector in Canada.


    The value-added sector is essential. We need domestic demand.

    Maintaining markets in the world is a policy issue and they are essential.
    Western Canada must seriously take ownership, as ongoing issues with our major trading partners of China and India have resulted from the management in Ottawa.

    This is why I suggest our ag associations in Western Canada need to own policy directly and not just production issues.

    But let's look at how we address issues, one of the major influences has been the environmental agenda! Despite us being the number 1 sustainable farmers in the world we are denied carbon credits by made-in-Canada regulations. And then the climate cult has a preference for plant-based meat and pulse protein, which is good for us. But the direction of insect protein is preferred to beef is not! They continue to denigrate beef, falsely, for its negative contribution to climate. As a person who pushes the back, I must say the response from the beef sector has been limp, to say the least. But it's even worse from the commodity groups who pompously say:
    Beef has nothing to do with me, I am a grain farmer!

    Case in point Bill C 293! The province of Alberta aside, they took the lead.

    Indeed, the grain industry needs the feed sector for the huge demand and market dynamics they create. Where does a canola meal go after all?

    We are in a wake-up call time. We need to define what makes us relevant in the rapidly expanding protectionism in the world of ag and trade. We have been here before and we always lose.

    I have posted earlier about issues I see as essential: Efficiency, review of all programs, carbon credits included, leading genetics and I suggest that we all accept the fact:
    We are either part of the solution or part of the problem. It's not someone else job, it's yours: Be an ambassador.

    It is your industry: Own it.?
    Last edited by westernvicki; Feb 12, 2025, 11:35.

    #2
    We need to see the canaries.

    Comment


      #3
      An uneducated ramble.
      BSE hurt a lot of producers.
      But what else was at play beforehand?

      I believe that when we overlook/ignore a business or economic principles long enough, a paradigm shift occurs. And like a hard rock mine collapse, it's fast.

      BSE, 911, Covid, defied predictions but were sudden drivers.
      Can't say, but is the Trump govt a paradigm shift driver? Or just a factor. We have been here before, the early 80s come to mind.

      Point is. We have been rearranging deck chairs while finger pointing for decades.
      Every govt and every organization by nature, have been busily milling clothes with invisible thread. Pick an issue.

      If I was 25 years younger I would if nothing else be highly aware of the potential for a paradigm shift, at the very least a big change in costs.
      But then, if I was that young I wouldn't know what any of this means......

      Keep up the good work Vicki

      Comment


        #4
        I am not too worried about the graincos. They have been doing a remarkable job of maintaining margins by not competing too hard for grain. We see that in the wide basis that were getting this year. Yes the carbon tax also is widening the basis, however, at this point if the tax is dropped the bond ratings would drop in interest rates rise. We desperately need a reduction in government spending. The pulse industry needs a reliable buyer that is not half broke like india is.

        Comment


          #5
          Vicki, did C-293 die with prorogation?

          Comment


            #6
            Age old problem every country has increasing domestic demand. Almost at saturation point cant create it out of thin air.

            Its almost finite, increase population helps, change habits or sadly lower prices.

            Personally I doubt insect protein will ever take off. If it does will be impactful for beef.

            Australia we export a lot of beef to Canada flip side we import a lot of Canadian pork.

            Great for our beef producers not yours Pork great for your pork producers not ours. But tis free trade.

            Comment


              #7
              What really bothers me about insect factories is if there was a breach.

              Comment


                #8
                Originally posted by littledoggie View Post
                What really bothers me about insect factories is if there was a breach.
                A disease in the bugs would be concerning too. I picture dead grasshoppers turned purple, dead and glued to the wheat heads after an infestation and I never sprayed a thing. Imagine the sicknesses possible in a bug factory? How would they know if they are grinding up deathly sick bugs and feeding them to humans? I guess not my problem, I won’t be eating any bugs anyways.

                Comment

                • Reply to this Thread
                • Return to Topic List
                Working...