Charlie,
The VOLITILITY in the market today... means many past habits are no longer the 'Best Management Practice'.
If we are in shorter cycle volatility... then the opportunity to make good margins between cycles increases dramatically.
THis is why it is important to follow the business cycle so closely this time... the shock on the down side Could be followed by a good rebound... where positive returns require decisions.
Production risk... what do we do with it?
Some contracts have Force Majeure clauses... minimum price contracts can do the same risk management... IF the marketer will work through a plan with the consumer... as this is often by far the least expensive way to create this opportunity.
It is really a shame the CWB would not negotiate in good faith for growers... leaving all the risk with the Contingency Fund... really sucks in terms of the coverage... cost... and stability of the program!
If the CWB were to suck it up... and innovate... then other marketers in non-board crops would be much more likely to follow and innovate as well.
The VOLITILITY in the market today... means many past habits are no longer the 'Best Management Practice'.
If we are in shorter cycle volatility... then the opportunity to make good margins between cycles increases dramatically.
THis is why it is important to follow the business cycle so closely this time... the shock on the down side Could be followed by a good rebound... where positive returns require decisions.
Production risk... what do we do with it?
Some contracts have Force Majeure clauses... minimum price contracts can do the same risk management... IF the marketer will work through a plan with the consumer... as this is often by far the least expensive way to create this opportunity.
It is really a shame the CWB would not negotiate in good faith for growers... leaving all the risk with the Contingency Fund... really sucks in terms of the coverage... cost... and stability of the program!
If the CWB were to suck it up... and innovate... then other marketers in non-board crops would be much more likely to follow and innovate as well.
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