Although the Canadian Wheat Board tends to attract the majority of headlines, it is not the only government agency working to develop wheat export markets.
A case study by Jim Dexter of the Canadian Grain Commission provides some interesting insight on how he and other CGC officials spent 10 years encouraging wheat sales to Colombia, beginning with a 1986 research mission.
The efforts paid off, raising Canada’s share of Colombian wheat imports from just over one percent in the early 1980s to 56 percent in the 1990s.
But it wasn’t easy. First came research to determine that No. 3 CWRS wheat was the grade best suited for Colombia’s milling and baking industry. Consideration had to be given for Colombian millers’ practice of removing part of high quality coarse flour to make pasta. And there were the unique characteristics of Colombia’s alinado bread, which is rich in fat, sugar and eggs.
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A damp Canadian harvest in 1987 brought complaints from Colombia bakeries, but a CGC visit demonstrated that the problem was due to the bakeries’ production processes, not the quality of the wheat. Colombia continued to buy from Canada.
Over the next few years, Colombian millers studied at the Canadian International Grains Institute in Winnipeg, gaining more expertise in handling Canadian wheat.
In 1992, Colombia deregulated its wheat import system. Many millers who once relied on centralized purchasing were now making their own import arrangements, and again CGC experts visited to put on seminars.
Widespread frost damage to the 1992 crop could have been disastrous to Canadian sales efforts, but the CGC, the grains institute and the wheat board combined to put on more seminars in Colombia, making sure millers there knew what quality to expect and what adjustments to make.
Another bad harvest in 1993 produced quality problems with No. 3 CWRS, and once again the three agencies sent specialists to help Colombian millers adjust.
Such sustained customer-service efforts were appreciated, Dexter noted: “Our frequent visits to Colombia have developed close relationships which are important in Latin America, where the tradition of personal friendship and mutual respect in business still persists. As a result, we are well positioned to remain a preferred supplier of high quality wheat to Colombia.”
Other success stories took place elsewhere, as Canada’s share of overall South American wheat imports grew substantially. The interests of Canadian farmers were well served.
