CWB Pushes Ahead With Pool

WINNIPEG - Jun 29/06 - SNS -- The Canadian Wheat Board (CWB) is pushing ahead with a controversial decision to offer an organic wheat marketing pool in 2006-07 in partnership withy the Canadian Organic Certification Cooperative (COCC).

Many organic wheat growers do not support the initiative even though their numbers cover the political spectrum and include many who otherwise support the CWB.

Board chairman Ken Ritter sees it differently. "Many organic producers are interested in marketing their grain for a pooled return that includes an organic premium. They can also leverage the CWB's excellent international reputation for high-quality wheat and its network of marketing contacts."

COCC secretary Bill Rosher said many organic wheat growers are looking for improvements in how their organic grain is marketed. He said his group had actively pursued the creation of this program and is devoting resources to ensure its successful execution.

"Not only does this approach give us some risk-management benefits, it allows us to work cooperatively for our mutual benefit," he said, adding the COCC has decided to move away from organic certification to focus on marketing.

Under the trial program, participating farmers will be offered the opportunity to market through the CWB for a pooled return and organic premiums.

At present, growers who want to sell organic grain either market on their own under the CWB's Producer Direct Sale process or sell to CWB accredited exporters that negotiate organic premiums with individual growers.

This fall, the CWB will offer an organic delivery contract for high-quality milling wheat (Nos 1 and 2 CARS with high protein levels, to be determined once the harvest grade pattern is evident). Producers will be paid the conventional initial payment upon delivery, plus an initial organic premium. Producers would receive conventional adjustment, interim and final payments, with the remaining organic premium paid out at the close of the pool year. The CWB will also consider programs for lower grades of wheat, depending on crop conditions and market opportunities.