(Editor's Note: the following is an Open Letter to Ian White, CEO and Wade Sobkowich, Executive Director of the Canadian Wheat Board Western Grain Elevator Association)
Dear Mr. White and Sobkowich:
On behalf of tens of thousands of successful farmers who eagerly anticipate a new wheat and barley era, we strongly encourage both private grain companies and the new voluntary Canadian Wheat Board to use all possible resources to successfully conclude their ongoing negotiations on handling agreements.
The Grain Growers' policy has always been marketing choice for farmers, and that means a healthy and strong CWB with pooling options offered as well as a proactive private sector grain industry.
In the Ministerial taskforce on changes to the Canadian Wheat Board mandate, the private sector expressed a strong willingness to handle grain on behalf of the new Wheat Board. As a result of this expressed interest, a number of us felt that it was premature to recommend regulated access to facilities.
Having said that, we can imagine the complexity of negotiating issues around access to inland and terminal facilities, shippers of record, blending gains, a pricing formula for grade differences and other issues. We do appreciate this does take some time.
However, it has been close to two months now and farmers are starting to wonder when the CWB will be active in new crop contracting. The business-orientated farmers we represent are looking to lock in prices and profits up to a year in advance in many cases.
Therefore we urge both sides to commit the resources and time needed to get handling agreements in place so that marketing choice becomes reality.
It is in the interests of all prairie farmers, to ensure a successful future for both the CWB and for the private sector.
Stephen Vandervalk, President, Grain Growers of Canada and Richard Phillips, Executive Director, Grain Growers of Canada.
