Farmers
Wheat FPC
The FPC for wheat is a pricing alternative being offered by the CWB for the 2006-07 crop year and is available for all seven classes of wheat. Like other FPC programs, you can choose to lock in a price for your wheat, providing greater control over when you are paid and how much you receive.
An FPC is available for the seven wheat classes beginning February 27, 2006. The sign-up deadline is November 1, 2006 at 7:30 a.m. CT.
How the FPC for wheat works
The FPC enables you to lock in a price for all or a portion of your wheat before the deadline date.
The FPC value is based on the CWB Pool Return Outlook (PRO) for the appropriate wheat reference grade, minus a discount for risk, time-value of money and administration costs of the program. The producers who use it cover any costs related to the program. The reference grades and relevant futures contract for the CWB's PPO programs for wheat are as follows:
| Wheat class | Reference grade | Futures contract |
|---|---|---|
| CWRS | No. 1 CWRS 13.5 | Minneapolis Hard Red Spring |
| CWHWS | No. 1 CWHWS 13.5 | Minneapolis Hard Red Spring |
| CWES | No. 1 CWES | Minneapolis Hard Red Spring |
| CPSR | No. 1 CPSR | Kansas Hard Red Winter |
| CPSW | No. 1 CPSW | Kansas Hard Red Winter |
| CWRW | No. 1 CWRW | Kansas Hard Red Winter |
| CWSWS | No. 1 CWSWS | Chicago Soft Red Winter |
The FPC provides pricing flexibility before your wheat has been applied against a delivery contract. The FPC is a pricing contract only; producers must still offer their production using CWB delivery contracts during the crop year to access delivery opportunity.
The FPC pricing schedules for wheat are announced every business day at 2:30 p.m. CT and are in effect until 7:30 a.m. CT the next business day.
If you choose the FPC, you receive an additional payment within 10 days of delivering and settling for your wheat. The reference grade is used as the base grade for your FPC. You will receive a premium or discount between the reference grade and the delivered grade, based on the initial payment spreads at the time of delivery. These deliveries are no longer in the pool account and are not eligible for CWB adjustment, interim or final payments.
General information
- Wheat producer worksheet
(PDF format 91 KB)
Current pricing is available here or by calling the CWB's toll-free line. You can commit to contracts over the phone by providing your CWB Producer Identification Number along with your Personal Identification Number (PIN). Fax commitments are also accepted at (204) 983-8031. Sign-up application forms are available by contracting the CWB and local elevators.