GFI Closes Shop

[sumdumguy]

Country Guide reports that GFI, headquartered in Toronto and operating in Lajord and Zealandia can not buy product for legume proteins at a profitable price-point. They’ve decided to call it quits and fold the tent.
This company is apparently mired in 20 million of debt.

[AlbertaFarmer5]

Looks like the millions of dollars in government grants they have received just wasn't enough.
Governments sure do have a great track record of picking winners and losers. But I'm sure all of the electric vehicle battery plants and alternative energy companies they are supporting will turn out to the winners.

[jazz]

So how does Viterra and AGT do it then. Or are we in trouble with the lentil trade in this country. Best to know now because farmers put a sht ton of lentils in around here.

[blackpowder]

Economy of scale.

[sumdumguy]

Its not the easiest schtick around- the special crops industry. There are many moving parts and its tricky dealing with strangers across the world. Experience is a great teacher and only these experiences tell you who is a good buyer/ customer. When you are forward buying and selling, you set yourself up for many unforeseen circumstances. Logistics in itself adds complexity to the equation. We’ve seen many marketing companies come and go.

[WiltonRanch]

I am no expert on this but a friend who’s involved commercial trades was talking about blockchains potential in large construction projects for organizing trades and prompt progress payments as well as organizing delivery of materials etc. Thought if that could be worked into shipping grains and even livestock to far corners with assuring both parties don’t screw one another. Heck even when selling through brokers locally. I’ve been lucky to get paid but some cases it was dubious.

Can’t knock another market for our products but the fury to build infrastructure for an almost sketchy business model ended with usual results. It’s about like the proposed irrigation expansion by Saskatoon. Down the road it could be viable but demand isn’t there for the foreseeable future to justify cost.