Most wheat payments rise by $20

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Published: February 23, 1995

SASKATOON – Initial wheat payments have been increased for the second time this crop year.

But there still appears to be plenty of room in the pool accounts for further increases or a sizable final payment.

Federal agriculture minister Ralph Goodale announced last week that initial payments will go up by $20 a tonne for most classes and grades of wheat, effective Feb. 22.

The increase will be $15 a tonne for lower grades of winter and soft white spring wheat, along with feed, sample quality and 5 CW amber durum.

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The new initial payments represent about 85 percent of the projected total return in the 1994-95 pool accounts.

For example, the new initial for 1 CWRS is $155 a tonne, while in its latest pool return outlook the Canadian Wheat Board projects the total payment will be in the range of $179 to $189 a tonne.

The prices quoted by the board reflect payments at export position. The price at local elevators reflects deductions for freight and handling, which average around $26 a tonne for wheat and durum.

Initial payments for wheat and durum were increased by $25 in October. The payment for 1 CWRS has gone from $110 a tonne on Aug. 1 to $135 in October to its current level of $155.

Adjustment payments to reflect the Feb. 22 increase will be mailed to farmers the week of March 13.

About the author

Adrian Ewins

Saskatoon newsroom

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