“Farmers will have to look at the whole package to see if that’s what they want.”
– MATT KJARSGAARD
Enhancements are coming to Canadian Wheat Board (CWB) grain delivery programs in the new crop year, officials say.
They include increased volumes of grain that can be delivered through GrainFlo, as well as storage payments for grain signed up under Series contracts, said Matt Kjarsgaard, the CWB’s manager of farmer registration and delivery programs.
The GrainFlo tonnage cap will more than quadruple to three million tonnes for Canada Western Red Spring (CWRS) wheat and triple to 600,000 tonnes for Canada Western Amber durum (CWAD).
That should allow more farmers to participate.
GrainFlo gives farmers a better idea of when they will deliver the grain they’ve committed to the CWB
The other big change in GrainFlo is the delivery periods. In the 2010-11 crop year there will be two instead of four. Period One is Dec. 15, 2010 to March 15, 2011. Period Two is March 16 to June 30.
The deadline for signing up is Oct. 12, instead of Oct. 1, which gives farmers a little more time to harvest and know what they’ve got in the bin.
Under GrainFlo farmers not only commit to deliver a specific volume of Hard Red Spring or durum wheat, but also a specific grade and protein, Kjarsgaard said. Farmers have been good a fulfilling their contracts, he added.
“We found very few farmers were off grade,” Kjarsgaard said. “That’s good to see.”
Farmers who sign up to deliver during Period Two need to be prepared for the possibility of delivering during spring seeding, which could be inconvenient.
“Someone is going to have to be asked,” Kjarsgaard said. “We’re not saying all farmers will be. Farmers will have to look at the whole package to see if that’s what they want.”
Farmers delivering in Period Two will be paid storage payments of five cents a tonne per day, compared to 3.3 cents during Period One.
Storage payments will now also apply to Series contracts for CWRS, CWAD, Canada Western Hard White Spring (CWHWS), Canada Western Red Winter (CWRW), Canada Western Soft White Spring (CWSWS) and Canada Prairie Spring Red (CPSR). Storage payments of 3.3 cents per tonne per day, or about $1 per tonne per month, start Jan. 1.
Guaranteed Delivery Contracts (GDCs) will be the sole delivery contracts available for two specialty classes: Canada Western Extra Strong (CWES) and Canada Prairie Spring White (CPSW).
Series A contracts are available for CWRW, CWSWS and CPSR. Once Series A expires, GDCs will be the sole delivery contracts available for these classes for the rest of the crop year.
Farmers participating in the Churchill Storage Program and Wheat Storage Program will receive the majority of their storage payment up front, at the same time as their premium payment. Previously, payments were made monthly.
Many of the program changes stem from farmer feedback, CWB president and CEO Ian White said in a news release. Farmers wanted more delivery flexibility, he said.
“The enhancements to GrainFlo will address issues with program availability that many farmers encountered last year,” White said. “The storage payments on Series contracts will provide a measure of compensation for farmers who store their grain on-farm to deliver throughout the crop year.” [email protected]