CWB Price Discounting $2.50/bu (1CWRS13.5)

[TOM4CWB]

Charlie,

Why is the CWB (in the capacity of an economic terrorist) getting away with:

“Western Canadian wheat competes against grain from a number of different origins. While the U.S. is an important competitor in many markets, it is not our only competitor and often it is not a relevant competitor. When comparing relative price structures, it is important to note that a much larger proportion of U.S. wheat production is consumed domestically than is the case with western Canadian wheat.”

What is this?

The price of DNS 14px is approx. $10/buCDN at the Gulf port or PNW ports. Low Ocean bulk rates cause this arbitrage to a large extent globally.[US Wheat Dec 19/08 prices]

CWB prices are $7.15/bu [CWB Dec 19/08 news release] for the same base quality (1CWRS13.5) east/west coast.

How on earth can the CWB talk themselves out of over a $2.50/bu give away... on our prices?

How on earth can we afford have the CWB in charge of giving our wheat away?

As Art said at our Pulse meeting last week... 'There are no price premiums... only discounts!'

Why do the Alberta/SK. Governments let these CWB maniacs get away with this economic terrorism?

These CWB guys are just collapsing world grain prices... which in turn cause food shortages... which kill people!

[wmoebis]

And what about pea prices they were $10 last fall look at them now. These crooks are trying to steal our production and sell cheap to the world.

[stubblejumper]

1 DNS 13 montana 5.62/bu

[furrowtickler]

At the end of it all just look at comparitive prices today, everything is down alot, (CWB)more than others. Pulse crops are down but when they rebound, and they will, most will be able to react accordingly and instantaionously - not at all with borg grains. Cwb returns will not show up until late 2009 - 2010. This is of no help for '08 bills! That is just the way the system works. Any way aat the end of it all good farming and good luck to all.

[LWeber]

Don't let the facts water down the Kool-Aid Stubble...


US 1 Dark Northern Spring Wheat - In US DOLLARS
13pct 14pct
Billings Area 6.05-6.77 7.01-7.37
Golden Triangle 6.28-6.32 7.08-7.12
Great Falls Area6.37-6.53 7.01-7.25
Northcentral Mt 6.02-6.79 7.05-7.41
Northeast Mt 6.04-6.24 6.77-7.04
Southeast Mt 5.77-6.21 6.37-7.01

US 1 Dark Northern Spring Wheat - In CANADIAN DOLLARS
13pct 14pct
Billings Area 7.34-7.98 8.50-8.94
Golden Triangle 7.62-7.67 8.59-8.64
Great Falls Area7.73-8.19 8.50-8.79
Northcentral Mt 7.30-8.24 8.55-8.99
Northeast Mt 7.33-7.57 8.21-8.50
Southeast Mt 7.00-7.53 7.73-8.50

[TOM4CWB]

wmoebis,

If you believe you can do a good job of selling your own pulse crops.... DO IT!

SELL YOUR OWN CROP. NO LAW IS STOPPING YOU.

You can even ship your pulses to the US... if the price is better in the US. NO JAIL TERM... no problem.

So please explain to me why Canadian pulse prices arbitrage or are better than US pulse prices... canola prices better here than in the US... why wheat would not be better here under similar market conditions?

OPEN YOUR BLINKING BLINKERED EYES!

PLEASE!

[TOM4CWB]

Stubble, wmoebis;

You must admit this:

The CWB 'Flexpro' is not a fair cash price... it in no way provides an option to access international markets... and it in no way provides transparent prices to 'designated area' wheat growers.

To have the 'Flexpro' @ $265/t below the 100% EPO @ $270/t for 1CWRS13.5... when the US port price (PNW & Gulf) is at $367/t...almost $100/t above CWB pricing... is inexcusable nonsense.

I will say it again another way... the CWB 100% EPO is above the cash price? The EPO is like a minimum price contract... which being traded ABOVE the cash price of our product. This totally defies every economic principal! Except if the Flexpro was designed from the start to rip off 'designated area' commercial grain growers. Obviously it was designed to do exactly this.

The CWB must think 'designated area' wheat growers are both fools and illiterate idiots!

Have I missed something Charlie?

Stubble... if you want to go sell your CWRS cheap in Canada (if you actually have any to sell)... you can do that here in the 'designated area' as well. It is called selling as feed wheat... it is technically illegal... but folks caught in the CWB trap... are forced into doing this.

The billions lost to 'designated area' commercial grain growers... who need fair prices (but cannot access them)... to survive... staggers the imagination...

AND how you, Stubble, and wmoebis can defend this utter stupidity.... is not in any way shape or form logical!

[wmoebis]

Tom,Before you carry on with your personal attacks.
Please explain to me and other readers where I defended anything or anybody.

[TOM4CWB]

wmoebis posted Dec 21, 2008 12:22
--------------------------------------------------------------------------------
Tom,Before you carry on with your personal attacks.
Please explain to me and other readers where I defended anything or anybody.


Remember above that you said:

"And what about pea prices they were $10 last fall look at them now. These crooks are trying to steal our production and sell cheap to the world."

So... please explain to me... how this in answer to CWB give aways of $2.50/bu... today...

Is anything but a backhanded defense of the CWB...

While taking a swipe at grain dealers who market pulse crops?

Did you know... the CWB managers get an extra special paygrade... for doing this type of 'education'?

It is called Variable pay bonuses... at the CWB. Big bucks... for smashing detractors like me!

[classicalliberal]

I have a experience with one of the bastardized CWB free market contracts. Back a number of months ago when the wheat prices were high, I was interested in selling outside the pool. The basis was about -2/bu US under the Minneapolis futures exchange. I checked the website of the elevator that we were shipping soybeans to and their basis was $3.50/bu above the Minneapolis price. It only costs about $0.70 to $0.80/bu US to ship 150 miles away at the most. Why did I get a $5.50/bu or if you include freight a $4.70 freight differential between the CWB price. At that time the exchange rate was approximately par with the US dollar. I'm thinking that they are upping their pool accounts with the extremely weak basis. If farmers found out that a grain company was making $4.70/bu off them, they would go into the grain businesses themselves. I'm sure that a lot of people would if there was that kind of margin. Imagine moving half a million bushels at those kinds of margins every year. Arbitrage would take care of that.

[TOM4CWB]

wmoebis;

If you are not defending the CWB's marketing... then what are you saying?

The CWB sold early in the 07-08 crop year... the PRO record shows this. I certainly recall the statements when they stated that the CWB was on shedule to be able to ship our wheat by the end of May of 2008.

What happened?

The CWB had to have chickened out... at the worst possible time.

In a marketing plan... being consistent... is key to being successful.

The PRO... proves the faulty management... if the formula for CWB sales is known... which it is.

Sooo... when the CWB lost its nerve at the end of Jan/08... and started buying back the positions it had on... guess what!

$25/bu wheat. Pure and simple. We bought on the way up... and held for a huge drop in value on the way down. Being a 'BIG" monopoly... that trades like the CWB does... with CDN Agents like Pioneer that know CWB tactics... was a recipe for the disaster.

I may not be the smartest guy on the block... but I could never afford to do what the CWB has done with my families wheat money...

Which is why it is totally inexcusable to pay CWB managers bonus payments for losing way over $100 million on trading losses from fool hardy stupid risk management.

So to try to recoop some of these losses... we will have to pay for years... for these mistakes that CWB managers get a bonus for ripping us off.

It is not going to fly with me for an instant... it is a ponzi scheme close to the integrety of Madoff himself.

Getting a bonus... is simply criminal... MS. DUPONT.

Either top managers will be fired or we have war.

The stage has been set... the basis past and present, proves the disaster is real... and the Liberals/ND's (Goodale & Layton)are responsible for this mess.

They (Liberals/ND's) must wear this deception.