So the outstanding CWB contracts
basically have no chance of movement as
elevators don't have room to take them.
The CWB has been unable to provide cars
to move the product. They increase the
buyout charges daily, which is helping
subsidize the building of their new
elevators. If they don't provide a
delivery option this crop year is the
grower expected to hold the grain until
the elevators are done? That would be a
few crop years from now. One would
have to assume that as they now own port
facilities, and are building inland
terminals, they are direct competitors
to the other line companies. These line
companies aren't going to post a CWB in
their facility moving forward, or logic
would suggest they wouldn't. You can't
get a Cargill canola bid at Viterra so
why would you get a CWB bid at Pioneer?
How long can they force the grower to
hold onto grain while the elevatos get
built and who would ever sign another
contract with them for the next 18-24
months?
basically have no chance of movement as
elevators don't have room to take them.
The CWB has been unable to provide cars
to move the product. They increase the
buyout charges daily, which is helping
subsidize the building of their new
elevators. If they don't provide a
delivery option this crop year is the
grower expected to hold the grain until
the elevators are done? That would be a
few crop years from now. One would
have to assume that as they now own port
facilities, and are building inland
terminals, they are direct competitors
to the other line companies. These line
companies aren't going to post a CWB in
their facility moving forward, or logic
would suggest they wouldn't. You can't
get a Cargill canola bid at Viterra so
why would you get a CWB bid at Pioneer?
How long can they force the grower to
hold onto grain while the elevatos get
built and who would ever sign another
contract with them for the next 18-24
months?