The Canadian Wheat Board (CWB) announced the 2010- 11 initial payments for the various grades of wheat and barley July 23. The payments are effective Aug. 1, for deliveries into the 2010-11 pool accounts.

The initial payments, in dollars per tonne, for base grades in each pool account are listed below. Also listed are the anticipated final 2010-11 pool returns for farmers, based on the CWB’s Pool Return Outlook (PRO) for July 2010. A complete listing of initial payments for all grades in dollars per tonne and dollars per bushel is posted at www.cwb.ca/payments.

Initial payments represent a portion of the returns farmers can expect from the sale of their grain over the entire year. Initial payments should not be confused with monthly Pool Return Outlooks (PROs), which are CWB estimates of farmers’ total returns from each pool account. The CWB’s monthly PROs can be viewed at www.cwb.ca/pro.

During the crop year, the CWB regularly reviews the initial payments and recommends adjustment payments if market conditions and sales progress warrant. The Government of Canada guarantees initial payments and approves the level at which they are set.

Farmers may, alternatively, choose the CWB’s Early Payment Option (EPO) as a payment method. The EPO, as with the other CWB Producer Payment Options, can be used as a cash flow tool. It provides similar returns to the CWB pool accounts, less a discount. The EPO allows farmers to receive an additional payment, on top of the initial, within 10 business days of delivery. EPOs are available at values equal to 80, 90 and 100 per cent of the PRO.

Wheat

No. 1 Canada Western Red Spring 12.5

$128

$210

Designated barley

Select Canada Western Two-Row

$138

$214

Select Canada Western Six-Row

$118

$197

Pool A

$143

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DurumFeed barley

Grade

No. 1 Canada Western Amber durum 12.5

No. 1 Canada Western

Initial

$119

PRO

$200

$88