When will CWB fix Winter Wheat?

[TOM4CWB]

Charlie,

I note Ontario April 17 prices here:

http://www.ontariowheatboard.com/Daily%20Cash%20Prices/Basis.html

It is hard to take the distortion the CWB makes to the spread between HRW and HRS wheat- $5.44 & $5.48 May 07 no px.

[charliep]

Can't answer the question when the CWB will fix the winter wheat payment/pricing problems. Can only go back to what craig has highlighted over time and that is the need for improved contracts that provide an accurate and transparent reflection of winter wheats value to farmers. This system has to get a lot more precise than today's situation of simply relating via spreads to the overall pooling system. If the CWB doesn't, they will become a less and less relevant part of the winter wheat market - farmers will simply target domestic feeding and ethanol industries.

An open market will solve many of the issues described above.