Forage Seed Market Freedom

[tower]

northfarmer, how do the other producers feel when companies declare bankruptcy and walk without having to pay a cent to the farmers whose seed they have already processed and sold. Perhaps like there should be more regulation?

What are the thoughts regarding the possibility of one company getting a monopoly on one type of seed as occurred a few years ago around the grass seed market? Or just the continued concentration amongst the major buyers? If a monopoly developed under a private company, or control under a handful, in out biggest market
do you think that bureaucracy would be more in the interest of the farmer than a public or farmer elected bureaucracy?

[northfarmer]

I do not know what the hell you are talking about Tower ?.......there was a financial collapse of a couple of grass seed players in the US a few years back, but that had cleared itself through the system soon enough.....The big players in our market, some that are owned and based in the region, the other out of WPG, but operating across the Prairies have had their challenges but continue to operate without any significant extent of concentration of market power that would casue problems for prodcuers....

the local coops and farm based processors are the other players and they are fine and find ways to successfully compete....

I have never heard of a situation in the region where there has been financial failures that have affected farmer payments in the forage grass business.....many of the players up here have been in the business for the more than 20 years I have been farming.....

I would trust the business competence of these folks to understand the market more than some government regulated or appointed, or farmer elected and regulated beuracracy.....

do you even grow forage grass seed, what is your knowledge of this market to make such suggestions.....if you starteded babbling about this to producers in the business up here they might tar and feather you!

we have had market freedom in forage grass production and marketing do not ever think for one minute that there is any singificant level of support for a change from this....you are in some dreamland if you think a single desk grass market has any support or would make any sense.....

[parsley]

oh northfarmer, do you sense someone lusting for a share of your forage profits?


You should.

Parsley

[tower]

northfarmer, over the years I have grown a couple of crops as alternatives to wheat, barley, oats, and canola. Crops such as fescue, timothy, clovers, and alfalfa. Dealing with private and co-op markets and I definately prefer the co-ops.

I haven't suggested the adoption of a marketing agency along the lines of the cwb. In fact it hadn't crossed my mind until this thread kicked in. I do know farmers who have taken pretty serious losses because of cut and run tactics from private enterprise, so I definately urge caution when dealing that way.

It is such a small market that I don't think their is justification for the board idea, but the trouble with being that small is that government doesn't feel a need to see that the regulations that would protect farmers from really lousy business practices come into effect.

[Burbert]

tower, Word of warning, anything that resembles common sense is dangerous on angriville. These pretend big wheels want it all their way, to heck with everyone else, slash and burn, only the greedy survive. Law of the jungle, after all this is Ab and we are open for business, scandal and crime are just fine. Gov't scrimp and save PC's, big oil is the order of the day, screw the gag sector, they are actually a real pain, at the best of times. Open market, lectricity and nat gas, both a remarkable scams, if you don't like it we'll spy on you and even have a 1800 snitch line, watch AB's line up then, can't wait to screw the neighbours.....

[sumdumguy]

Tower, sorry, I missed your question a few days ago. I believe that some farmers and cityites believe that the CWB has monopoly power. As you likely know monopolies are supposed to be powerful in the marketplace- the world market and should be able to extract the top market prices because of its power. Instead, the CWB is a monopsony which means we are forced to sell to just 1 buyer. If you look up the meaning of monopsony, you will find that the power of a monopsony is to buy or EXTRACT from producers product at the lowest possible cost because the grower has no where else to go to sell his product. That means that the CWB power works against producers as you well know. Meanwhile its puppets expound the virtues of monopoly powers when in fact the CWB is one seller amongst many and basically is forced to compete like any other world seller- only thing is it has this advantage of being a monopsony and the producer is trapped.

[northfarmer]

Tower, I would not argue that the role of govt in such matters would be to regulate and to provide proper safegaurds to ensure that individual producers are protected from the unscrupulous....a requirement for bonding or licensing makes sense and this may be in place in some jurisdictions.......it is a relatively small market I agree....in Alberta we do have people that follow the market closely in the prov govt and provide relevant market and price data to producers province wide, we also have commission organizations that support producer interests and share information.....some of the folks invilved are very capable producers and do a good job of representing this industry for other producers....


Burbert, shut up if you have nothing constructive to say, you add zero intelligence to this debate, which frankly is rather civil except for your socialist conspiracy theory rants....

[charliep]

Will note there are other ways to look after transactional risk (risk a buyer or seller doesn't meet their commitments). Western barley growers cash clearing house would serve to mitgate this risk. Ontario has programs that insure contracts (agricorp - http://agricorp.com/en-ca/).

[sumdumguy]

There actually has been a great deal of work and cooperation between growers, associations, marketers and government agencies with respect to grower protection. The world markets are crying for quality specific product and are willing to pay the price to get it. Freedom to fill those needs WILL improve my neighbours' net returns. The special crops industry is a great example. In the last 20 years or so, we've all needed to grow as a group, learn and change because we know producers and world markets are demanding that we all be judicious businesspeople. A lot of farmers see farming as a business - not some game where we stay awake at night wondering how we can control and covet our neighbours' work. we stay awake at night wondering how we can help them to become more comfortable and free.

Believe it or not Burbert, many people have spent their entire lives looking at ways to improve their neighbours' lot. You may not believe this either, it is so rewarding to see farmers who have just found freedom. OH YEH, NOT ALL OF US ARE LIVING IN CASTLES, NOR DO WE WANT TO ! SO, CUT THE CRAP