Farmers
Organic marketing options
2007-08
New Program for Organic Grain
In 2007-08, farmers will have three options for marketing their wheat, durum and barley.
- The Organic Fixed Spread Contract: a new CWB program for organic grain, designed to provide organic farmers with increased flexibility and greater certainty on returns, taking effect August 1, 2007
- The CWB pool price plus negotiated premium
- CWB cash buying
Organic Fixed Spread Contract (OFSC)
The OFSC allows farmers to obtain an export licence or sell inter-provincially by making a low, stable, up-front payment to the CWB. The payment is based on type of grain and market destination. It represents the benefits that organic farmers receive from the CWB, such as branding, product and variety development, and advocacy on issues such as transportation, trade and biotechnology.
The OFSC is easy to use.
- The farmer phones the CWB (Wayne Foubert 204-983-5760) with shipment information and proof of organic certification.
- The CWB informs the farmer of the applicable rate and invoices the farmer.
- The farmer pays immediately by wire transfer, VISA, or certified cheque.
- Once payment is received, the CWB issues the farmer or exporter an export licence.
2007-08 OFSC rates (per tonne)
|
Japan |
EU/UK |
U.S. |
Canada |
|---|---|---|---|---|
Wheat |
$5.20 |
$3.71 |
$3.38 |
$3.38 |
Durum |
$15.02 |
$3.38 |
$3.38 |
$3.38 |
Barley |
$3.38 |
$3.38 |
$3.38 |
$3.38 |
Designated barley |
$3.38 |
$3.38 |
$3.83 |
$3.83 |
Pool price plus negotiated premium
Organic farmers continue to have the option to deliver to an organic elevator and receive the CWB conventional pool price plus a privately negotiated organic premium.
- The farmer signs a Series A delivery contract by October 31. (Late signup for delivery through the conventional pool is considered on an exceptional basis and subject to a late signup fee.)
- Once committed, the farmer may not switch between the pool and other options.
Sell to the CWB for a cash price
A cash-buying program is being developed for organic farmers who want the CWB to market their grain. Farmers can express interest in this option by submitting their contact information to the “CWB Organic Cash Buying Farmer Registry”. This can be done by faxing the form below to 204-983-3841, attention Organic Marketing, or e-mailing organicfarmerdirectory@cwb.ca. The CWB will contact those on the registry with offers for cash sales as opportunities arise.
CWB organic cash buying registry form (PDF 19KB).
Additional details on the cash-buying program will be announced as the 2007-08 crop year progresses.
CWB Producer Payment Options
When pricing your organic grain, in addition to negotiating your organic premium with your buyer, on the CWB side of the transaction you can choose between the pool return and the CWB Producer Payment Options (PPO).