Open and Transparent:

[carebear300]

I guess there is some reason for it(world over supply) but why couldn't the canadian wheat board offer a certain amount of wheat of a certain grade for delivery at a certain point for a certain period of time as a tender? Wouldnt that be the way to do business or am I wrong again? Does anybody know if that has been tried?

[sawfly]

if the usa was the only country in the world that had wheat, then the US price would be the world price. But it is not.
whoever sold what , world exportable stocks are down that much and US prices as well as other countries will reflect that.
this is not the type of market where preiumiums can be extracted,there are many sellers,all with a simmilar product.
this was a chance to move product. if we had left it on the shelf, it would still be there in the summer holding prices down.

[Incognito]

Who sets the world price of wheat if the US does not with 3 futures exchanges?

[sawfly]

the WCE sets the price of canola, but years ago it didnt stop EEC canola from comeing in to canada for 30$ less.
or corn comming into the praires in 02 , cutting the barley price

[sawfly]

the only way to control price is to control supply. The chemical companies know how that works.

[Incognito]

And the answer to the question would be:

Who sets the world price of wheat if the US does not with 3 futures exchanges?

[sawfly]

the same as canola, peas the person or company that is willing to sell the cheapest. if canola is 5$ on tthe market and someone sells at 1$ basis . then i guess the real price is 4$

[rook]

I'm not interested in getting into a CWB debate - quite frankly I'm glad the wheat moved although I don't see where the single desk advantage came in. I'm interested in the sixth paragraph in this article where the Iraqi Board said they favoured US wheat. As a wheat grower, why would a potential customer favour their wheat over mine?

[Incognito]

Sawfly you should look at getting into politics.

Politicians routinely answer questions about wheat with canola, peas and rice and the media buys it.

You havent answered the question yet.

Who sets the worldwide price of wheat?

[wd9]

Rook, that paragraph caught me too. Maybe cause they usually have to pay more for Canadian Wheat? Maybe they don't like the CWB? Maybe the quality is too good? Maybe delivery histories are unstable? Quality not delivered concerns? Tarriffs? BLTA's? Shipping? Incog - any idea what the real reason is?

Any Iraqi buyers on this discussion forum?