The Canadian Wheat Board's single desk function has had more lives than a cat, but its days are now numbered. All the signals coming from the new Conservative majority government indicate that marketing choice will be delivered on both barley and wheat.
The Conservatives have been clear regarding their intentions and they again received strong support from farmers at the polls. The CWB issue is just one of many in the voting mix, but market choice advocates, who are also big party supporters, are going to press the government to act quickly and decisively.
Single desk advocates are trying to play the democracy card as well. They point to the CWB director elections which have continued to send a majority of single desk supporters to Winnipeg. That's a compelling argument, but the government is going to act anyway.
The number of farmers who want marketing choice may be 40, 50 or 60 per cent of the total. It all depends who is on your list of farmers and how you phrase the question. Whatever the exact percentage, it's clear that a large number of producers want the ability to sell their own wheat, durum and barley.
Many absolutely despise the board. Completely jaded, they find a reason to oppose and criticize virtually every action and policy. The CWB's recent purchase of lake freighters generated a storm of controversy even though it appears to be a good business decision.
While not all the criticism is rational, the sentiment can't be ignored. Even if a mandatory single desk is the best approach, and it may well be, it isn't right to impose this structure when so many want marketing freedom.
Producers sell their canola, lentils, peas, flax, oats and host of other crops to whoever they please and the system works. And the information world has changed providing progressive producers with more market insight than ever before.
I've always believed in the advantages of farmers working together through their own marketing agency. In recent years, the CWB has worked hard to provide growers with improved marketing options while maintaining the integrity of single desk sales. But it hasn't been able to stem the tide of opposition.
Rehashing all the old CWB arguments isn't going to change anyone's mind or solve anything. Change, for better or worse, is coming.
The Conservative majority was a surprise so it's taking a while for the ramifications to sink in. Make no mistake. The Conservatives will fulfill this election promise. Big changes are coming to the CWB.
The real question now is whether or not a voluntary Canadian Wheat Board can serve a useful purpose. Board supporters have always said that a voluntary marketing organization that doesn't own any grain handling facilities will not be able to survive.
Others believe it can survive albeit in a different form. Discussions on a future role are now more relevant than repeating the well-worn arguments for and against the marketing monopoly.
The CWB has some excellent people and has represented Canada admirably in markets around the world. Watch for CWB employees to start jumping ship. The big players in the Canadian grain industry - Viterra, Cargill and Richardson Pioneer - will be looking for experienced people that can help market wheat, durum and barley.
CWB activities range from transportation and logistics to overseas customer support to grain variety registration. Changing the board's mandate is going to have wide-ranging ramifications. Thought and planning are needed to ensure a smooth transition.
Whether the changes are exciting or terrifying depends on your point of view. There are going to be winners and losers. But the question now is how to maximize opportunities from the change.
Kevin Hursh is a consulting agrologist and farmer based in Saskatoon. He can be reached at [email protected].
