[Newsbot]

Title: Pro-CWB farmers dump wheat in front of MP's office
Category: Political
Posted By: Robair
Date: 2011-11-06 11:26:46
Canadian

[Robair]

[saturn_656]

Correct me if I am wrong, but Harper doesn't actually intend to abolish the Wheat Board, but allow farmers to sell their wheat to whomever they please and those who wish to stay with the board are welcome to.

Right?

[Robair]

Wrong.

The wheat board's only asset IS the single desk. It does not own ports or rail companies. When the single desk is gone, so is the board. Harpers legislation will fire all farmer elected board members and replace them with Harper appointed ones. He is then giving them a short time to decide if anything from the board is salvagable under his new system. If not it is being phased out completely.

[Wada]

Probably should have dumped manure instead.

[saturn_656]

So the wheat board cannot exist if it allows the 39% of farmers who do not wish to deal with the board to opt out?

[Robair]

saturn_656 saturn_656:

So the wheat board cannot exist if it allows the 39% of farmers who do not wish to deal with the board to opt out?

THE BOARD HAS NO ASSETS. How is it supposed to move grain? Ports etc will by owned by the companies the board will have to compete against.

What would it be in your version? Just a price pool aiming for the average? A grain broker?

No, the board can't exist without the single desk.

[Robair]

Wada Wada:

Probably should have dumped manure instead.

These are grain farmers. The guys with manure want the board gone. See my signature for an explanation.

[saturn_656]

Robair Robair:

saturn_656 saturn_656:

So the wheat board cannot exist if it allows the 39% of farmers who do not wish to deal with the board to opt out?

THE BOARD HAS NO ASSETS. How is it supposed to move grain? Ports etc will by owned by the companies the board will have to compete against.

What would it be in your version? Just a price pool aiming for the average? A grain broker?

No, the board can't exist without the single desk.

When it boils down to it I just don't think it is right to force that 39% who do not want to sell to the board to play ball. Their farm, their crop, their money, their livelihood.

Let them do as they wish.

[Robair]

That was the system when they started their farm, decided what crops they would grow.

That was also the system in place when pro CWB farmers (the majority) built their farms, grain terminals, and invested in short line railways. What are you going to tell them about right and wrong?

[andyt]

God damn hippies and their protests. What are they whining about? Canada is a great place to live. They should get a job instead of doing this kind of illegal stunt. If they don't like it and want to live under a communist system they should move to Cuba. (Have I about covered it?)

[jeff744]

Saturn, do you know what market power is? The CWB operates by having enough market power that instead of being a price taker, it is a price maker. If you release 39% of farmers (which are the largest of all the farmers so it is likely well over 50% of the grain the CWB controls) the CWB will take a massive hit and will no longer be able to set the decent prices that it does. Assume that prices only drop 39% as a result, farming is a multimillion dollar business even on smaller scales, the farmers themselves likely get less than 10% to themselves in the end and that includes their second jobs.

Unless you are willing to pony up cash to give the government so they can give it to the farmers we need the CWB.

[andyt]

jeff744 jeff744:

Unless you are willing to pony up cash to give the government so they can give it to the farmers we need the CWB.

Pony up cash for what? We live in a free market economy, the govt should not be subsidizing farming. If they can't make a go of it, fuck em. Tell em to get an education and get a job.

[Robair]

jeff744 jeff744:

Saturn, do you know what market power is? The CWB operates by having enough market power that instead of being a price taker, it is a price maker. If you release 39% of farmers (which are the largest of all the farmers so it is likely well over 50% of the grain the CWB controls) the CWB will take a massive hit and will no longer be able to set the decent prices that it does. Assume that prices only drop 39% as a result, farming is a multimillion dollar business even on smaller scales, the farmers themselves likely get less than 10% to themselves in the end and that includes their second jobs.

Unless you are willing to pony up cash to give the government so they can give it to the farmers we need the CWB.

Studies have shown the CWB getting a price premium for farmers, but not a large one. The biggest hit to farmers will be shipping costs. It's a long way from Saskatchewan to the coasts. Private companies will be all about sending as much grain through their own ports as they can. This is why Churchill is worried, not going to be incentive for these companies to use that port.

CWB isn't big enough to set global prices. But they are big enough to set freight rates in Canada.

[saturn_656]

Robair Robair:

That was the system when they started their farm, decided what crops they would grow.

That was also the system in place when pro CWB farmers (the majority) built their farms, grain terminals, and invested in short line railways. What are you going to tell them about right and wrong?

Well the system isn't set in stone and things will be changing, regardless of what everyone's opinion is on the matter.

jeff744 jeff744:

Saturn, do you know what market power is? The CWB operates by having enough market power that instead of being a price taker, it is a price maker. If you release 39% of farmers (which are the largest of all the farmers so it is likely well over 50% of the grain the CWB controls) the CWB will take a massive hit and will no longer be able to set the decent prices that it does. Assume that prices only drop 39% as a result, farming is a multimillion dollar business even on smaller scales, the farmers themselves likely get less than 10% to themselves in the end and that includes their second jobs.

Unless you are willing to pony up cash to give the government so they can give it to the farmers we need the CWB.

The most often complaint I've read about the CWB is when prices ride high the CWB pays the farmers significantly less than market price for their crop. If the CWB is forcing farmers to sell below market price for their product, then the prices are not "decent" and its no surprise that many want out (and work the market themselves).

If things were all sunshine and lollipops everyone would want to stick with the board, but there is a significant divide, why?