CWB Needs a History Lesson

(November 5, 2004 - FFJ) “It has been an extremely challenging harvest for farmers who have had to deal with late maturing crops that have been damaged by frost and excessive moisture.  As your corporation determines how to respond to this unfortunate situation we felt it was important that we provide you some information on the market value of lightweight feed wheat and barley.

The minimum test-weight for CW Feed Wheat is 65 kg per hectolitre (52 lbs per bushel).  Wheat with a lower test weight is graded Sample CW Account Light Weight.  The initial payment for this grade is $60.50 per tonne in-store St. Lawrence and Vancouver.  Based upon average freight and handling deductions for Saskatchewan of $54.42, farmers would receive around $6 per tonne ($0.16 per bushel) for this product.  This is $23.50 per tonne less than what a farmer would receive for delivery CW Feed wheat.

The minimum test weight for No. 2 CW Barley is 57 kg per hectoliter (48 lbs per bushel).  There is no initial payment for barley below this weight as there is very limited demand for this quality.  Even where markets exist, it would result in a price that would barely cover freight and handling costs.  As you will see when test weight falls below the minimum CW Feed Wheat or No. 2 CW Barley, the value of the grain falls to nearly zero on a farmgate basis.

We ask that you consider these factors in deciding on whether to require farmers to harvest these crops.”

The above paragraphs are from the CWB to the Saskatchewan Crop Insurance Corp. in regard to the poor wheat quality after the frost of August 19, and the moisture received since then.

Farmers have bills to pay and many producers took out the CWB spring advance, an advance that is still owing.  These words discussing grain weights put producers back to 1993 and 1994 when Manitoba and Saskatchewan producers had to deal with fusarium leaf botch (snow mold) in the grain.  These producers were told by the CWB that “fusarium grain” was worth nothing.

When you are told that your grain has no value and your bins are full of such produce, what does one do??

In 1993 and 1994 producers started moving grain into the United States where farmers got good money for their ‘fusarium grain’.  When there are bills and loans to pay you do what you must do, farmers weren’t going to just lose their farms.

Ten years later we remember the Alberta farmers who went to jail to make their point – that they should have a choice to market their own grain that they took all the risk for.

What has changed in ten years?

Saskatchewan producers are still waiting for the court system to deal with the actions for the ‘fusurion’ situation and now the 2004 crop quality is added to the list.

Has the CWB learnt nothing from history?

 

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