Winnipeg, Manitoba
June 29, 2006
A pilot program for marketing
organic Prairie wheat will be conducted during the 2006-07 crop
year as a partnership between the
Canadian Wheat Board (CWB) and the
Canadian Organic Certification
Cooperative (COCC).
"Many organic producers are interested in marketing their grain
for a pooled return that includes an organic premium," said Ken
Ritter, chair of the CWB's farmer-controlled board of directors.
"They can also leverage the CWB's excellent international
reputation for high-quality wheat and its network of marketing
contacts."
COCC secretary Bill Rosher said many organic wheat growers are
looking for improvements in how their organic grain is marketed.
He said his group had actively pursued the creation of this
program and is devoting resources to ensure its successful
execution.
"Not only does this approach give us some risk-management
benefits, it allows us to work cooperatively for our mutual
benefit," he said, adding the COCC has decided to move away from
organic certification to focus on marketing.
Under the trial program, participating farmers will be offered
the opportunity to market through the CWB for a pooled return
and organic premiums.
At present, growers who want to sell organic grain either market
on their own under the CWB's Producer Direct Sale process or
sell to CWB accredited exporters that negotiate organic premiums
with individual growers.
This fall, the CWB will offer an organic delivery contract for
high-quality milling wheat (Nos 1 and 2 CWRS with high protein
levels, to be determined once the harvest grade pattern is
evident). Producers will be paid the conventional initial
payment upon delivery, plus an initial organic premium.
Producers would receive conventional adjustment, interim and
final payments, with the remaining organic premium paid out at
the close of the pool year. The CWB will also consider programs
for lower grades of wheat, depending on crop conditions and
market opportunities.
Each partner plays an important role in the pilot program. While
the CWB markets the organic wheat and administers the program,
the COCC will conduct contract sign-up, organize sampling and
coordinate delivery.
Controlled by western Canadian farmers, the CWB is the
largest wheat and barley marketer in the world. As one of
Canada's biggest exporters, the Winnipeg-based organization
sells grain to more than 70 countries and returns all sales
revenue, less the costs of marketing, to Prairie farmers. |