SASKATOON (Staff) — The Canadian Wheat Board can’t sell what it doesn’t have, says commissioner Ken Beswick.
That’s one of the dilemmas facing those trying to encourage farmers to grow more winter wheat. As acreage dropped drastically in recent years, the board’s marketing hands were effectively tied.
With barley, spring wheat or durum, the board can forward sell large volumes, secure in the knowledge that production will be there. That’s not the case with winter wheat. Not only is the acreage small, but it is concentrated in specific areas.
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“Weather problems in a very small area of Western Canada can dramatically affect the quality of the whole winter wheat pool,” said Beswick, who has often grown winter wheat on his Alberta farm.
There’s no question there are markets for Canadian winter wheat, which is known for good yields of high-quality flour and competes well with U.S. winter wheat on the basis of uniformity and cleanliness.
While it’s up to farmers to decide what to grow on their own farms, the board would “be delighted” to have 500,000 tonnes of winter wheat to sell, rather than the 100,000 tonnes or less of recent years.
“From a marketing perspective, it would be a very valuable addition to our bag of tricks,” said Beswick.
There are problems to be overcome. Higher protein is desirable, but volumes are so small that protein segregation at country elevators is impractical. New varieties are needed, with different characteristics required in different regions.
Quality and yield
Two breeding programs are heading off on different tracks, with Alberta-based research focusing on increased quality and protein and the University of Saskatchewan working on winter hardiness and yield.
“Without commenting as to which approach is right, we may have to make a choice,” said Beswick. “They are producing quite different wheats for the same class.”
Brian Otto, a farmer from Warner, Alta., and vice-chair of the Alberta Winter Wheat Producers Commission, said producers are pleased to see the board taking more interest in winter wheat.
In the past it seemed the agency was marketing and pricing top quality winter wheat on a par with 3 CW red spring: “We say a good quality 1 CW red winter is just as good as 1 CWRS.”
In fact in 1992-93, 1 CW red winter was worth more than 1 CW red spring. Total payments (basis Thunder Bay/Vancouver) were $159.84 for 1 CW winter and $156.82 for 1 CW spring.
The board is projecting a 1993-94 final price of $143 for 1 CW winter and $157 for 1 CW spring, while the pool return outlook for 1994-95 is $133-$143 for 1 CW winter and $146-$156 for 1 CW spring.
That price gap is often balanced out by winter wheat’s higher yields.