The Canadian Wheat Board has announced that they have signed a grain handling agreement with Viterra staring August 1, 2012. The agreement will be a compliment to the Cargill agreement that was reached previously. The CWB – Viterra agreement will also provide the CWB with access at the port.
Since the CWB does not own any grain handling assets, it has been striving to gain access to elevators and ports to allow it to accomplish its survival plan in the new grain marketing environment.
With this new agreement and the court ruling this week, it has not been a great week for the Friends of the CWB. Although I can tell you that the Friends of the CWB do have a booth at Canada’s Farm Progress Show this week and they seem to be forging ahead in some way.
From the press release:
“We are pleased to forge a new alliance with Viterra that will assist the CWB in marketing farmers grain through our pool programs.”
-Ian White, CWB President and CEO-
“This agreement provides growers with access to the CWB pool programs for wheat, durum and barley and Viterra’s comprehensive logistics network across Western Canada.”
– Fran Malecha, Viterra COO, Grain –
Realistically these are the kind of agreements that Ian White and the CWB have to sign in order to execute on the new pooling programs that they will offer. The new world is starting to take shape.