The National Farmers Union wants Western Canada’s provincial governments to buy the assets of the former Canadian Wheat Board.
In a Dec. 4 news release, the NFU said it has contacted the governments of Manitoba, Saskatchewan, Alberta and British Columbia and is urging the provinces to become actively engaged in the federal government’s plan to privatize the CWB.
Manitoba farmer and NFU co-ordinator Ian Robson told the Western Producer Dec. 4 that that letters have been sent to western Canadian premiers, encouraging then to purchase and hold assets until a plan can be developed aimed at returning those assets to western Canadian farmers.
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Robson called Ottawa’s current plan, which gives the CWB until Aug. 1 2017, to privatize the former wheat board assets, “a travesty” against western Canadian farmers.
For the past year or more, CWB has been looking for a privatization partner that will invest in the CWB, allowing the former wheat board to acquire additional assets and expand its grain handling footprint in Western Canada.
In return, it is assumed that the successful investment partner will acquire a controlling opposition in the CWB, with farmers retaining a minority interest.
Rumours have been swirling that American agribusiness giant Archer Daniels Midland has been identified as the most likely privatization partner.
Robson said a decision by Ottawa to hand over control of wheat board assets to a U.S. based multi-national demonstrates the Conservative government’s disregard for the interests and well being of western Canadian farmers.
“The federal government is preparing to confiscate millions of dollars worth of assets built up by the farmer-directed CWB and appears ready to turn them over to one of the same multinational grain companies the single desk CWB successfully competed with in the world grain market until Aug. 1, 2012,” said Robson.
“How did (agriculture) minister (Gerry) Ritz develop this sinister plan to steal the farmers’ CWB assets?”
Ottawa’s decision to remove single desk marketing has also thrown a wrench into the grain handling and logistics system and is beginning to erode the reputation of western Canadian grain among overseas buyers, according to some industry observers.
“The economies of Saskatchewan, Alberta and Manitoba are out billions of dollars because of this debacle,” said Matt Gehl, a Regina-area grain farmer and NFU board member.
“It would make a lot of sense if (provincial governments) stepped forward to keep this bad situation from getting worse.”
The NFU release said provincial governments have an opportunity to prevent a tragic mistake if they are willing to step forward and take temporary ownership of the CWB assets.
According to Robson, letters proposing a provincial government take-over were emailed to the four western premiers yesterday afternoon.
Contact brian.cross@producer.com
