CWB not taking all CWRS

[TOM4CWB]

Incognito;

ANyone

Did you hear anything in the trade... that the CWB is not going to take all the CWRS offered on the "a" series?

[shafe]

I just looked at the CWB website under contract deadlines and acceptance levels and it says 80% for 1 & 2 CWRS and durum. 100% for all other classes and grades, I think.

[TOM4CWB]

Shafe;

You are right.

80% 1 & 2 CWRS and all DUrum

I thought, silly me, that the CWB; would put out a news release!

[silverback]

Someone please explain how this works.

The world is short of wheat and they can't find a home for it?

For the last few years they couldn't find a home for our damaged wheat and now what is the reason.

Confused. (again)

[TOM4CWB]

Silverback;

UMMM well there is really a surplus of high grade wheat... and the CWB is wanting us to hold our wheat till 2010 when we will have a low quality crop.

What is the best way for the CWB to do this?

Did you notice the non-board feed market drop yesterday?

Boy are we ever stupid.

People curse the man who hoards grain,
but blessing crowns him who is willing to sell.

Better a little with righteousness
than much gain with injustice.

Food gained by fraud tastes sweet to man,
but he ends up with a mouth full of gravel.

A fortune made by a lying tongue,
is a fleeting vapour and a deadly snare.

[rosco]

where are you guys finding this news?? I've looked all over the new CWB site and I can't find anything regarding 80% acceptance of CWRS, or 100% acceptance for that matter!

[shafe]

http://www.cwb.ca/public/en/farmers/contract/levels/

[rosco]

found it finally, when did they sneak that little bit of info out?? And don't we have 2 weeks to change our contracts following anything less than 100% acceptance of a certain class of wheat? I'm guessing that will fall just shy of the PRO at the end of the month! Nice timing! $4.58 april feed wheat del. Red Deer is starting to look good!

[JohnKenneth]

complicated rules to be sure.

after pricing 70% under a combination of dpc, fpc and basis, we tried to reduce our series a delivery commitment before the oct 31 deadline, in order to keep the ability to sell it domestically. for april/may already 'feed' wheat prices are at a premium to the pro for everything up to a 1-13.5%, even in central saskatchewan.

it was such a pain in the butt to get this, what i thought should be a relatively straightforward request, through the organization. because we'd already delivered our 20% accepted under series a, reducing our commitment from 100% put us in an over-delivery position which the elevators didn't like at all, and in fact their systems wouldn't allow them to do without someone from the board waiving it. our area rep refused to help, while other area reps were said to be waiving the overdelivery restriction on adjusting commitments. i finally emailed a bunch of staff in various departments at the board begging for help and about mid-afternoon on the deadline to reduce, someone called me back and said OK, they'd waived the restriction in their system for us, in this case because we had a specific business reason for doing so ($1/bu upside in the non-Board market we'd like to take advantage of). so any farmer who would have tried to reduce that day would have been able to go into an over delivery situation but nobody let them know about it.

anyway long story short in the process the guy indicated that as i had expected, they are planning to take 100% of the cwrs this year. no there isn't much more high-price demand for milling wheat but there are enough other exporters short this year that our crop will find a home, probably by march. too bad our pigs and tractors at home are willing to pay more for it though and those premiums will be very tough to access, especially once mar/apr rolls around and feed supplies really get tight, for anyone with a 100% delivery commitment to the cwb.