Barley Challenge argument

[craig]

As I read through some of the comments of the first day of the barley court challenge I have become perplexed. The Cwb and the friends of the CWB argue that removal of the board's control has to go through a vote of parliment. This is the same group that said that farmers should decide. So we want a vote in parliment by a) a whole bunch of people who represent people who live outside the designated area,B) a whole bunch of members of parliment who represent urban ridings and C)by a whole bunch of people who do not understand the issue and who probably couldn't give a hoot. When I use to go to Ottawa during the Liberal era it was clear that Ralph Goodale and Wayne Easter made all the ag decisions in the Liberal party and the rest of the members basically towed the line. So much for farmer's deciding.

[Fransisco]

This is also the same group who argued that we needed to decide this thing collectively and not individually. But now want it decided by an 'individual' Judge.

Who, by the way, is also not a farmer.

[liberty]

Where can we go to read transcripts of these court proceedings?

[AdamSmith]

The following from the cwb web site.


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News release

Federal Court hearings to begin on CWB barley issue

Winnipeg – Hearings begin tomorrow morning at Federal Court in Calgary on whether the government’s plan to remove farmers’ single-desk marketing system for barley on August 1 is legal. The hearings, which start 9:30 a.m. MDT on July 25, are expected to run over three days with a decision expected at a later date.

The CWB has applied to have the introduction of change by regulation declared unlawful or beyond the federal government’s jurisdiction. The CWB application argues that the ultimate decision to remove grain from the single desk is reserved to farmers. It also argues that only Parliament -- not the government by itself -- can make the changes required to implement farmers’ decision.

The intent and effect of 1998 changes to The CWB Act was to make the CWB a farmer-controlled enterprise accountable to western Canadian farmers, who now elect a majority of its governing board. The CWB’s application, its written arguments, the affidavit of its Chief Operating Officer and 53 exhibits, have been posted at www.cwb.ca.

Controlled by western Canadian farmers, the CWB is the largest wheat and barley marketer in the world. One of Canada’s biggest exporters, the Winnipeg-based organization sells grain to over 70 countries and returns all sales revenue, less marketing costs, to farmers.

-30-



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In a nutshell

Amendments to the CWB Act in 1998 transferred operational control over the CWB from the federal government to western Canadian wheat and barley producers. Key among these amendments was Section 47.1, which ensures that the ultimate decisions over grains marketed through the CWB single desk rests with farmers. This section established that wheat or barley could be removed from the single desk only through legislation enacted by Parliament, preceded by consultations with the CWB board of directors and a majority vote of producers in favour of removal of the grain.

Since its election in 2006, the current federal government has embarked on a policy to implement a voluntary marketing structure for board grains, which would result in elimination of the CWB single desk. In early 2007, the government issued to farmers a non-binding, three-option questionnaire on barley marketing, with one option based on the questionable premise that it is possible for the CWB to survive in an open market without the single desk.

The government’s March 28, 2007 announcement that it would amend CWB regulations to remove barley from the single desk on August 1 has had and continues to have a significant negative impact on the CWB’s ability to effectively carry out its mandated operations on behalf of farmers. This is harming farmers financially. Farmers bear the financial burden of CWB losses, since its operation is entirely funded by proceeds related to the sale of producers’ grain, with all profits returned directly to them.

The CWB twice asked Minister Chuck Strahl to end the market uncertainty that has occurred since his March 28 announcement by delaying implementation long enough to enable the government and the CWB to obtain legal clarification of the government’s process.

The Minister’s own task force envisioned that changes to barley marketing would be carried out via Parliamentary legislation and recommended an implementation date of February 2008 in recognition of transitional challenges.

The CWB’s value for farmers is derived directly from its single-desk structure, which enables farmers to sell all their wheat and barley (for export or domestic human consumption) as one – giving them market power to leverage returns. For barley, this value is estimated by economists at $60 million per year. The CWB owns no grain-handling facilities such as elevators or port terminals and has no other significant physical assets. This fact effectively prevents it from transforming into an open-market grain company capable of competing with established corporations.

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"In early 2007, the government issued to farmers a non-binding, three-option questionnaire on barley marketing,"

"...three-option questionnaire on barley marketing"

"...three-option questionnaire ..."

"...questionnaire..."

Just when you thought the cwb spin dept. couldn't get any more condesending and arrogant, they come out with this little ditty.

Really when you read this stuff, one can only conclude that they aren't in court to win, how can they be when every argument put forward contradicts some other arguement they put forward.

Some have been suggesting this court business is merely a pr exercise for the communications dept.,

I'm beginning to think that arguement has merit.

OH HOW THE MIGHTY HAVE FALLEN

[AdamSmith]

"This is harming farmers financially. Farmers bear the financial burden of CWB losses,..."

WRONG AGAIN,

What has harmed farmers financially was the idiots at the barley sales dept. that sold malt barley early and cheap, malt barley that was not yet offered to the cwb by farmers, at deep discounts to the malsters, with the full knowledge that these contracts would be impossible to fulfill when the monopoly is removed.

And presumably with the full knowledge of the board of directors.

The CWB themselves are fully responsible for this mess, and at the end of the day they will be held accountable, as individuals and as an organization.

Many will see to that.

[liberty]

I've got a number of questions re the court challenge, an issue which the media seems to be totally ignoring:

What are the government's actual chances of winning this case?

What will the government do if it loses?

Will they finally fire Comrade Ritter to expedite change in the event of a loss in court?

What I do know is that if the government simply accepts an unfavourable court decision and sits on its hands, that will be the day I stop contributing financially to the federal Tories. They have nothing to lose by firing Ritter; the opposition parties are not going to bring down the government over an issue which has so little relevance and garners next to no interest in the rest of Canada.

[charliep]

More curious to me will be what the CWB does if they win. They have had some pretty clear direction from farmers both in terms of plebiscites and surveys. Current CWB barley producer pricing options don't work - end of story. Grain companies and maltsters have new crop business on the books based on the assumption of an open market. Maltsters/the CWB will still have the $50 million loss to deal with unless domestic feed barley prices tank this fall - the maltsters are going to struggle to get deliveries regardless.

I note this week's Western Producer. Front page article which ties the barely decision directly to survival of the CWB (Single desk future in court's hands) versus dealing with as a barley issue. Also look at Brenda Tjaden Lepp article in the back - provides a balanced look at what is going on in barley market outside some of the political issues (page 71).

Hate to call anything 5 days ahead of a decision (my understanding is one more day of court time/judge trying to have a decision next Tuesday) - I am usually wrong.

[wilagro]

http://www.harperindex.ca/ViewArticle.cfm?Ref=0053

Another interesting point of view on this matter.

[Fransisco]

One mans " interesting point of view" is anothers -left wing rant.

[charliep]

wilagro

So what will the CWB do if they win? Will there be a set of initial payments for barley August 1? There would have to have been a recommendation go forward and an order in council signed by government to do this (i.e. some level of cooperation).

Things ain't going back to where they were before. The next question is where the western Canadian barley market is going (or at least the 15 to 20 % of production that is handled by CWB - the other 80 to 85 % will carry on as normal).

[AdamSmith]

Wilagro, you dottering old twit, I googled Ish Theilheimer, he's a friggen ultra lefty theatrical playwrite.

He actually says the cbc is leaning too far to the right for his liking.

Your more dopier than I thought if you believe the opinions of an Ontario playwrite are going to hold sway over farmers who know that barley is worth 3.75/bu feed and 4.75 bushel malt in the real world open market and will be worth, 3 bucks top end malt if the cwb maintains control of export and malt barley.

It is abundantly clear you could care less what the value of barley is as I suspect you don't even grow the stuff.

I'll be so happy when the opinions of nitwits like yourself and any other hairbrained ndp/lefty nutburger will have zero affect the succuss of my farm business.

[Barleyman]

I hope the dark side doesn't win but i do know that Strahl won't back down. Like Quebec referendums there will be another vote really quickly, a 2 question vote, monopoly yes, or no. Once farmers take it on the chin again with lower prices from the cwb, it will be 70-75% in favor of ending the monopoly. Money will always rule, follow the cheques.