Cash Flow!

[SASKFARMER3]

Since I have been home at the Rinks and Sled shacks, Farm meetings and talking to different groups. Seems in East Sask for sure Cash flow is Awful. Example north of us a elevator offers a special. $9.50 the other day and it came out Friday for a Monday delivery. By Tuesday afternoon they were plugged. Hm lowest price around and yet guys grabbed at it.
Oh but the experts in Ottawa tell me their is no rail problem and no Problem with farmers making good on their payments. Other guys are liquidating #3 wheat to the feed market and hauling so they can make the March Payment date.
Why the wide basis because farmers need cash and the elevators know it.
But the Rail problem is also showing up again.
Since Feb 1. We were suppose to haul 40000 bus HRS #2 and #3. last week of Jan cars canceled but you get the promise they are arriving first week of Feb. First week of feb shows up and half cars arrive but no delivery for grade set. Week two train pulls out and damages track. Ah not their problem. Week three one loading track has got 40 cars but 40 on track 3 but cant load its a idler track. Then last week told on Friday should deliver Monday as cars on idler moving to main track and loading Monday hauling Tuesday. Phone Monday because no cars at terminal so must of spotted on weekend and loaded and gone. No grasshopper that's not happened the train came and dragged all cars away. But promise to bring some this Friday.
Now crushers have slowed deliveries on contracts taken out back in Jan for March Delivery.
Ah the shit show we know as Ag in Canada.
But talk to any Politician its just a few areas with issues and its just a great time to Be in Ag.
Ah farming.


What a crock of Shit.

[SASKFARMER3]

Problem also is guys who didn't get their fert last fall face a huge cost increase this spring and talk of no product till late may or June. This adds a cost to farms. Then the price increases in Crop insurance in Flood areas. Yes basic coverage is down but no one said what the top up coverage costs will be with the new insurance for flooding.

[Klause]

Yup... we got cut down from 12 loads a week to 9. Down to 7 next week. Canola that is.

[SASKFARMER3]

Wondering if the crushers aren't getting cars to ship their oil out and meal so slow down the trucks coming in. You cant just shut down and start up again a week later but you can sure slow down the system.
Something is going on and as usual our politicians think its all grrrrrrrrrrrreat.

[SASKFARMER3]

The car thing happened in either terminal beside ours. That's west and East. Cars sitting going to be moved or promised and then disappear.
Where did the cars go. Thin Air or a mirage that they actually were their.

[freewheat]

I am in that area SF3. Some of you were talking about 10 dollar canola, which has been a foreign concept locally. Now I understand at least....

Good to know like usual, when it is bad generally, it is worse here. lol

[Hamloc]

Canola not moving in Alberta either sold some for Jan delivery still hasn't moved. I read a letter to the editor by mp David Anderson in which he talked about all the great things the conservatives have done for ag including improving rail service my breakfast almost came back up. The conservatives should changes their name to the Ostrich party because they certainly have their heads buryed in the sand unfortunatly the alternatives are just as bad!

[SASKFARMER3]

Yea our contracts are for the better price but all loads canceled this week promise were on next week.
North did have a special and like I said it was filled with in no time at all. Guys digging out bins bags etc just to deliver hm no problem that's just normal from politician. HA HA HA

[SASKFARMER3]

Yea I read that article he had in the paper. Just about shit my self it was that funny.
Losing reality shows its time to retire.

[furrowtickler]

On this grain movement issue - why are line companies still so quiet?
IMO, they are as disfunctional as the rail ways. A lot of fingers getting pointed everywhere - again. Last year the rr blamed the weather, farmers and MP's blamed the railroad yet nothing from the major line companies. You could here a bird chirp at 1000 yards when line company shipping performance was brought up, they quietly blame the rr as well but do nothing that may help out their customers who are taking a shit kicking on cash flow - why? They are a disaster at loading ships at port b/c their infrastructure at the ports is dismal. There is a few small expansion projects in the works but limited at best.
Even if the rr's started to become efficient the ports can not handle the volume and turn around times needed to keep the trains moving.
This grain movement thing is a whole structure problem from the delivery points to the ships and it's time the line companies stepped up instead of hiding in the shadows quietly pointing fingers at the rr's. Just my take on it.

[mcfarms]

Not defending the railroads as I dislike their act as well. This year's issues are systemwide though. US port strike causing products to be routed through vancouver, boats arriving out of order causing products to be out of position, Richardson is undergoing a 80000 tonne expansion which is causing some bottlenecks, rainy vancouver earlier on causing loading disruptions. Railways are definitely not performing but the whole systems a mess this year.

[mcfarms]

Ps if your so hand to mouth that that this is causing cash flow issues you've got bigger issues than the railroads.

[freewheat]

mc farms. Not all farms have had good fortune. Be careful how you word stuff, as it looks kind of careless to me. Just saying.
And some areas are far worse for rail movement than others. Why should one expect to cash flow 5 months with prior crop cash, while they wait for cars?

[Hopalong]

Saw yesterday canola
price delivered May to Yorkton of $10.64
After last year, grower might know risks of waiting for spot price and immediate delivery.
Started last week on March delivery contract, think others delivering also had forward contracts.
That said, would like to see graincos take a more forward looking view on value of railway surge capacity.
Just asking governments to regulate or force movement is not the solution.

[farming101]

Last Grain Statistics Weekly showed Primary elevators were at 53.4 percent of licensed capacity across the prairies.

So there is room in some areas.

If some areas are plugged and behind on shipments it must indicate that there is cherry picking going on.

Is the elevator that is putting off deliveries truly plugged up or are they just not bringing it in because they don't know when or what will be moving when the cars finally do get spotted?