World Grain - March 2012 - 10

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Single desk ends, CWB/Cargill reach strategic agreement
WINNIPEG, MANITOBA, CANADA — The Canadian Wheat Board (CWB) announced on March 1 that it has reached a strategic grain agreement with Cargill, the CWB’s ﬁrst agreement for grain handling services since the end of the CWB’s monopoly. Justice Shane Perlmutter of the Court of Queen’s Bench of Manitoba, the highest trial court in the province, dismissal on Feb. 24 of an application for an injunction by eight former wheat board directors against the Freedom for Grain Farmers Act seems to have been the ﬁnal straw. The Marketing Freedom for Grain Farmers Act is now law, thus ending the CWB’s monopoly (see page 30 for more on this topic). CWB and Cargill said that programs for farmers will be rolled out by the end of March. The strategic agreement with Cargill will provide farmers who market through the CWB with delivery access and port handling services. “We are very pleased that Cargill, with whom we’ve partnered very successfully in the past, has become the ﬁrst player in the Canadian grain industry to ﬁnd innovative ways for us to work together,” said CWB President and Chief Executive Ofﬁcer Ian White. “We can now move ahead to provide farmers with an exciting package of programs they can use with conﬁdence in this new era.” White said CWB pools and cash contracts, including futuresbased programs, as well as malting barley production contracts, will be available for farmers to sign up within the next few weeks. Participating farmers will take advantage of the CWB’s global customer network, long-established relationships with grain buyers, and a trusted international brand, CWB said. “We are excited about this opportunity. It allows us to present the most complete offering of wheat marketing tools to western CanaWhite dian growers,” said Cargill Ltd. President Len Penner. “The CWB has a proven track record of managing a western Canadian wheat pool. It is only logical that farmers continue to have access to CWB pools, if that’s what ﬁts for them.” Cargill’s collaboration gives farmers who market through the CWB access to their 30 facilities across Western Canada, White said, along with critical port access at Vancouver, Thunder Bay and Baie Comeau. “We are also seeking agreements with all Prairie grain handlers to maximize farmers’ delivery options,” White said, noting farmers could expect other agreements to be ﬁnalized shortly. “We plan to be farmers’ best marketing partner, giving them the assurance they want and the returns they need for their business.”

IGC raises wheat carryover forecast for 2012
LONDON, ENGLAND — The world wheat carryover forecast was raised 7 million tonnes in the most recent projections of the International Grains Council (IGC), to 211 million tonnes. The Feb. 23 carryover forecast would be up 8% from 196 million tonnes in 2011. At 211 million tonnes, ending stocks would be up from 199 million tonnes in 2010, 173 million in 2009 and 132 million in 2008. Wheat production in 2011-12 was forecast at 695 million tonnes, up 5 million tonnes from January and up 6% from 653 million in 2010-11. Market conditions in February were not consistent with the carryover data, the IGC said. “Wheat export prices in Europe climbed by some 8%, in somewhat tighter markets, with reports of logistical problems and possible future export restrictions in the Black Sea region (though denied), seen as potentially bullish,” the council said. “However, global supplies appear ample, with the likelihood that a portion of upcoming large South Asian wheat harvests will be offered for export.”

Sosland celebrates 90 years of publishing
KANSAS CITY, MISSOURI, U.S. — Ninety years ago in early March, the ﬂagship publication of World Grain’s parent company, Sosland Publishing, had its founding as The Southwestern Miller. This magazine was created by three young brothers, David, Samuel and Sanders Sosland, to focus on the Southwestern region of the United States’ ﬂour milling industry. From that humble beginning, Sosland Publishing has grown from covering one region’s ﬂour milling industry to covering the global food processing industry. Through Milling & Baking News (Southwestern Miller’s modern name), Food Business News, Baking & Snack, bake, InStore Buyer, Biofuels Business Quarterly, Market Fax, Baking & Snack International, Culinology, World Grain, along with numerous
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websites, buyer guides and books, Sosland Publishing provides essential information to the industries that feed the world. In 2012, World Grain also celebrates its 30th anniversary, supplying the global ﬂour, grain and feed processing and handling industries with the information that helps its professionals do their jobs. “To say that the past 90 years witnessed great change would be an understatement,” said Morton Sosland, editor-in-chief. “To say that even greater change lies ahead is realism born of experience in partnership with industries — grain, ﬂour and feed processing, grain-based foods and food processing — that we earnestly believe have the potential for a future that will truly pale its past.” To view all of Sosland’s publications, please visit www.sosland.com.
March 2012 / World Grain / www.World-Grain.com

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World Grain - March 2012

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