Vader,
I see from the 2003-04 CWB financials the following:
Average farmer selling price of PPO wheat to the CWB POOL was; 158,741t @ $32,005,000.00 or averaged, $201.62/t.
The Average price grain farmers got from wheat sold through the Wheat Pool, was $213.09/t
My question is this:
1. When PPO producers get, year after year, less through PPO contracts, can the CWB count this program as a risk management tool that is legitimate?
2. When the CWB got $132,000.00 revenue from PPO liquidation fees, but only $2.000.00 from hedgeing and risk management activities, how can this be; unless PPO's are actually designed to produce lower producer returns than sales through CWB Pool accounts?
3.When sales of harvested wheat from the previous crop year are removed from PPO contracts, isn't performance significantly discounted... in other words even worse than about the $10/t stated in previous CWB financial reports?
Vader, why would farmers want to participate in a PPO program that is proven, on average, to pay us less than CWB pool payments?
I see from the 2003-04 CWB financials the following:
Average farmer selling price of PPO wheat to the CWB POOL was; 158,741t @ $32,005,000.00 or averaged, $201.62/t.
The Average price grain farmers got from wheat sold through the Wheat Pool, was $213.09/t
My question is this:
1. When PPO producers get, year after year, less through PPO contracts, can the CWB count this program as a risk management tool that is legitimate?
2. When the CWB got $132,000.00 revenue from PPO liquidation fees, but only $2.000.00 from hedgeing and risk management activities, how can this be; unless PPO's are actually designed to produce lower producer returns than sales through CWB Pool accounts?
3.When sales of harvested wheat from the previous crop year are removed from PPO contracts, isn't performance significantly discounted... in other words even worse than about the $10/t stated in previous CWB financial reports?
Vader, why would farmers want to participate in a PPO program that is proven, on average, to pay us less than CWB pool payments?