Newsroom
2005
Pre-delivery top-up delivers money more quickly to farmers
September 1, 2005
Winnipeg - Western Canadian wheat growers who have taken a fall cash advance can now apply for an additional $30 per tonne for their grain, to be paid prior to delivery.
The CWB's Pre-Delivery Top-up (PDT) program provides farmers with cash advances an opportunity for additional cash flow early in the crop year by providing an additional pre-delivery payment, noted Ken Ritter, Chair of the CWB's farmer-controlled board of directors.
"Early in the season, many farmers require immediate cash flow to pay suppliers," Ritter said. "The PDT is another example of the choices farmers have when marketing their crop."
The top-up program was introduced in the 2003-04 crop year, but was limited to non- Canada Western Red Spring (CWRS) wheat classes. In the 2004-05 crop year it was expanded to CWRS, to make the program available to more farmers.
The 2005-06 program begins today and the sign-up deadline is October 31, 2005, except for Canadian Western Red Winter wheat and wheat delivered to the CWB under the Identity Preserved Contract Programs, which have a sign-up deadline of September 24, 2005.
To qualify for a PDT payment, participating farmers must sign up for a fall cash advance and then apply for a PDT contract. They can apply by fax at (204) 983-8031 or by calling the CWB toll-free at 1-800-275-4292. Program information and applications are also available on the CWB Web site at www.cwb.ca/en/farmers/payments/pre-delivery/
Farmers can expect payment within 10 business days of signing the contract. Participants will be responsible for the costs of the program, including risk management, administration costs and time value of money. Repayment will be repaid through subsequent payments made by the farmer, in accordance with the farmer's deliveries.
Controlled by western Canadian farmers, the CWB is the largest wheat and barley marketer in the world. As one of Canada's biggest exporters, the Winnipeg-based organization sells grain to more than 70 countries and returns all sales revenue, less marketing costs, to Prairie farmers.
For more information, please contact:
Gord Gilmour
Communications Consultant
Tel: (204) 983-3565
Cell: (204) 479-2451