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Canadian Wheat Board

Prairie strong, worldwide

Forms

Handling agents

Applying for a CWB agency agreement

Applying for a CWB service agent agreement

Agent criteria


Applying for a CWB agency agreement

Companies who are interested in becoming a CWB agent for the purpose of buying and handling CWB grain and/or for issuing advances, must apply for a CWB Agency (i.e. handling) Agreement. Depending on the nature of the Company business, applicants should apply for either: a Primary Elevator, a Process Elevator (Maltster), a Process Elevator (Miller) or a Company without Elevator Facilities agreement to handle CWB grain.

Companies wishing to issue advances on behalf of the CWB may also request an Advance Agreement in addition to a grain handling agreement. All Agreements are renewed annually.

Criteria statements

These statements provide an overview of the requirements for becoming a CWB agent for companies with existing or planned elevator facilities and also for companies who do not own any elevator facilities.

If you as an applicant decide to pursue this business venture with the CWB, it will be necessary to provide the CWB with the following documentation:

Agency application

This application form covers the basic information about applicants such as their registered or incorporated name, company officials, elevators owned or operated and financial banking information. It is important that applicants provide accurate and complete information on this application.

Detailed company business plan

As part of the CWB's evaluation process to determine if a company will be accepted as a CWB agent, companies are required to provide a detailed business plan that includes such information as:

Financial and company information

In addition to a business plan, applicants are requested to provide where available, the following:

Security

The CWB reserves the right to request that a company post security established by the CWB, in the form of an irrevocable Letter of Credit. This security is required to cover any risk to the CWB that may affect pool accounts, advance deductions, freight adjustment factors or deferred deposit monies from producer cash tickets as well as cover any value due the CWB from delivery and sales invoices.

Security is tendered after the CWB establishes the amount of security required. DO NOT TENDER SECURITY UNTIL THE CWB NOTIFIES YOU OF THE REQUIRED AMOUNT AND TERMS OF COVERAGE.

Letters of Credit must be tendered in Canadian funds and issued by a chartered bank, caisse populaire, credit union, provincial government or provincial government agency.

Licensing

The CWB requires companies and elevators to be licensed by the Canadian Grain Commission (CGC). If you have not already done so, you should contact the CGC Licensing Department at (204) 983-3309 regarding the proper licensing of your company and any elevators and/or processing plants you have.

Cash purchase ticket

CWB Regulations and agency agreements require that as CWB agents, companies are to issue farmers a cash purchase ticket when settling for delivery of CWB grain. Companies are to provide the CWB with a copy of their cash purchase ticket in order to ascertain that the information contained on it conforms to required reporting information.

Submitting forms

Send the necessary application and documentation to:

The Canadian Wheat Board
Farmer Operations
Business Systems and Industry Agreements
423 Main Street
P.O. Box 816, Station Main
Winnipeg, Manitoba R3C 2P5
Tel. (204) 983-6290
Fax. (204) 983-8031

General information

As a CWB agent, your company will work with a number of departments within the CWB on a regular basis. For instance, Farmer Relations and Operations handles of delivery permits, contracts, producer certificates, advances and payments as well as being the main telephone contact through the Business Center. Logistics looks after delivery calls, railcar allocation, tendering and car awards and unloads of CWB grains at port. Sales and Market Development handles sales contracts and product development and our Country Accounting handles company liabilities, carrying charges and other accounting/ financially related issues with companies.

The CWB also offers companies the opportunity to apply for participation in the Country Inventory Prepayment of Inventory (PIP) program. Under this program the CWB will advance funds to companies to cover payment to farmers for grain delivered in the country.

We also welcome the opportunity to meet with you to discuss in detail the operating procedures of all the departments as well as meeting the people you would be dealing with on a regular basis. In particular, should your company choose to participate in our PIP program, a mandatory meeting with our inventory group is required (of at least one day), to review the operating details of this program.

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Applying for a CWB service agent agreement

Service providers who are interested in becoming a CWB service agent for the purpose of assisting farmers with the completion of delivery permit applications, delivery contracts or cash advance applications, must apply for a CWB Service Agent Agreement.

Criteria statement and agency application

This statement provides an overview of the CWB requirements for becoming a CWB service agent. The application form covers the basic information about applicants such as their registered or incorporated name, company officials, services provided. It is important that applicants provide accurate and complete information on this application.

Service agent criteria

Service agent application (PDF format)

CWB e-services

Through the CWB web site, the CWB provides E-services for farmers, handling agents and service agents. For service agents, the system provides access to E-contracting and E-advances. Using E-contracting reduces hard copy contracts and related administration costs while improving service to farmers. E-contracting also makes it easier to enter into or modify delivery contracts. In addition, E-advances provides access their cash advance transactions and balances.

Service agents with Internet capabilities, who wish to receive access to CWB e-services, must sign a Third Party User Contract with the CWB.

Cash advances

Service agents who wish to assist farmers in the completion of advance applications under the Agricultural Marketing Programs Act (AMPA) or the Spring Credit Advance Program (SCAP) must also enter into a separate advance handling agreement with the CWB. This is due to liability risks associated with advance applications. Interested service agents should contact the CWB Manager, Cash Advance Services at (204) 983-3374 or their local CWB Farm Business Representative.

Submitting forms

Send the application to:
The Canadian Wheat Board
Farmer Operations
Business Systems and Industry Agreements
423 Main Street
P.O. Box 816, Station Main
Winnipeg, Manitoba  R3C 2P5
Tel. (204) 983-6290
Fax. (204) 983-8031

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Agent criteria

With the shrinking elevator system more and more farmers are having to travel greater distances to their elevators in order to complete their delivery permit applications, delivery contracts or cash advance applications. The Canadian Wheat Board (CWB) is prepared to enter into an agreement with service providers ("Company") who wish to assist farmers in the completion of these forms.

For companies wishing to provide this service to farmers, the following criteria has been established.

  1. The Company must be legally entitled to do business in Canada.
  2. Companies must apply to the CWB in writing, by facsimile or by e-mail. Applications must be in the name of the Company and must provide the CWB with, at minimum, the following information. This is to enable the CWB to conduct an evaluation of the Company to ensure their suitability as a representative of the CWB in the area in which the Company operates.
    1. The name, address, telephone (and fax) number, e-mail address of the Company. Individual persons are not eligible for CWB service agent status.
    2. The names of all the principals involved with the Company;
    3. A description of the Company's operations and any other services offered to farmers within the vicinity of the Company's location.
    Note: The Company may make use of the attached application form for submitting this information.
  3. In consideration of authorizing the Company to become a CWB service agent, the CWB may also take any or all of the following actions:

    1. To use the services of the CWB's Farm Business Representatives in assessing the company's reputation in the farming community.
    2. To determine whether or not the Company is licensed by the Canadian Grain Commission in accordance with the Canada Grain Act.

    Once the CWB is prepared to authorize the company to become a service agent, the CWB will forward to the Company a "CWB service agent Agreement". By signing the Agreement and returning it to the CWB, the Company agrees to abide by the terms and conditions in the Agreement with respect to assisting farmers in the completion of delivery permit forms and delivery contracts.

    Upon receipt of the signed Agreement, the CWB will provide the Company with an appropriate supply of delivery permit application and delivery contract forms.

    E-services and cash advances

    Companies with access to Internet services can assist producers in completing delivery contracts or accessing cash advance transactions and balances through the CWB's e-services.

    Companies are also able to assist producers in the completion of spring and cash advance payments. Due to certain liability risks associated with the advance programs, interested companies must sign a separate Modified Advance Handling Agreement.

    Companies can apply for access to e-services and/or for an advance agreement by checking the applicable box on the application form.

    This policy is reviewed annually.

    Contact:

    Farmer Operations
    Farmer Services
    September 2006

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