Canadian Wheat Board Rips Off Prairie Organic Farmers

(January 29, 2004 - OPSG)    The CWB does not market organic grain; however, organic farmers are unable to sell their organic wheat or barley unless they sell it to the CWB and then buy it back at inflated prices arbitrarily set by the CWB.   This is costing individual organic farmers thousands of dollars.

Kirk Torkelson is an organic farmer at Beaubier, Saskatchewan.  He found a market for his wheat in the USA in November, 2002.  Unfortunately, he could only sell to the CWB at the initial price, and buy it back at the price set by the CWB,  before the CWB would grant him an export license.  In doing his buy-back, he dealt directly with the CWB and their credit program. 

"According to the CWB’s own projections, they estimated my buy-back costs would be about $0.53 per bushel.  Since I did all my own marketing and carried all the risks while they did nothing, paying them any amount seems like extortion.   But in December, 2003 I couldn’t believe they wanted $6060 for my 2659 bushels.  That’s a buy-back cost of $2.28 per bushel the CWB is demanding,  just so I can sell my own wheat."

"While conventional farmers in the pool were helped with $85 million from taxpayers, I am left on my own to pay the CWB for their marketing and projection mistakes."

"Not only is this obviously unfair, but organic farmers are subjected to this nightmare only if they farm in the West."  states Stockholm, Saskatchewan organic farmer, Rill Rees, and member of Organic Special Products Group (OSPG) .  "Under the very same legislation that applies equally throughout Canada, the CWB allows Eastern organic farmers to freely market their grain.  Eastern farmers get to pocket all the fruits of their labor."

"This unconscionable CWB exploitation of prairie organic farmers is not new.  Not only do they extract profits from sales we have made ourselves, but for years, they lied to organic farmers by telling us that it was the legislation that forced organic grain into the monopoly, and the Act would have to be changed to let us out.  This misinformation was publicly exposed this year when CWB Director Larry Hill admitted on national television that the CWB could let Western organic grain go at any time without any change in the legislation, just as it does in Eastern Canada.  It is the CWB policy that is hurting organic farmers, not the legislation."

"This is not just about organic, but extends to all farmers and it's not hard to see why the CWB would want to suppress the truth.” adds Rees, “They do not want farmers to know that by arbitrarily denying licences to only prairie farmers, not only is the CWB discriminating against prairie farmers, but they are also acting beyond their authorization from the Act."

 

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