The Western Canadian Wheat Growers Association is disappointed the Canadian Wheat Board is pressing ahead with a producer vote in a vain attempt to preserve its monopoly over prairie wheat and barley growers.
“The federal government has been perfectly clear, reassuring farmers that they will be following through on their campaign commitment to provide us with marketing choice,” says Kevin Bender, President of the Wheat Growers. “Instead of spending our money on a futile producer vote, the Wheat Board should be focused on developing a business plan that will allow them to become a competitive choice for farmers.”
Federal Agriculture Minister Gerry Ritz has already indicated that the results of the CWB vote will have “little to none” influence over the government’s plan to move ahead in providing grain marketing freedom to western farmers.
The CWB vote, even if it had relevance, is badly flawed, given that the initial voters list excludes farmers who do not grow CWB grains (because of the constraints of the monopoly) or who grow wheat and barley solely for the non-board feed market. This means the vote will under-represent Alberta farmers where support for marketing choice is highest. The eligibility rules will also provide many retired farmers with the opportunity to vote, and give hobby farmers as much say as those who depend on grain farming for their livelihood.
The Wheat Growers reject the entire premise of the vote: a farmer’s right to sell his grain in the manner he chooses should not be constrained by the wishes of his neighbour. All farmers should have the right to sell their grain on their own or in co-operation with others.
Instead of conducting an irrelevant vote, the Wheat Growers believe the CWB should be focused on re-inventing itself as a producer-owned and controlled entity, whether that’s a co-operative or some other business structure.
The Wheat Growers note there are plenty of examples of successful producer co-operatives that offer price pooling to farmers. Examples include SunKist (citrus fruits), Sun-Maid (raisins), Blue Diamond (almonds) Ocean Spray (cranberries), Calcot (cotton) and Farmers’ Rice Cooperative. In Australia, there are at least four companies that offer price pooling to farmers for a wide variety of crops. For example, CBH Group, a large producer-owned co-op offers price pooling options for wheat, barley, canola, oats and lupins. The Wheat Growers encourage the CWB to learn from these companies about how to operate pools successfully in an open market.
“The CWB board of directors needs to adopt a positive attitude about the opportunities that will arise in a competitive marketplace,” says Geoff Hewson, Saskatchewan Vice President of the Wheat Growers. “The government has announced a change in grain marketing policy. If certain directors are not prepared to move forward with plans to be a viable option for farmers, then they should step aside and let others make a go of it.”
