Canada: CWB’s expanded malting barley protein payment program for 2007-08

Malting barley protein payments will continue in the 2006-07 and 2007-08 crop years, according to CWB’s press release, April 5. This program enables producers who grow two-row barley to receive a premium payment when barley is accepted and delivered as malting barley.

The CWB malting barley quality payment program was introduced in 2005. It pays protein premiums to farmers who deliver two-row barley to participating elevators and maltsters.

Instead of paying the same return for all selected barley, this program rewards farmers who produce barley with lower protein levels, which is more desirable to brewers. Protein levels that are too high can affect malting and brewing quality.

This program helps the CWB market your barley by encouraging production that meets customer specifications. The goal is to create a Canadian malting barley supply with a larger proportion of low-protein grain – ensuring that Canadian barley continues to be preferred by major brewers around the world.

The program has grown significantly each year thanks to increased industry participation.

For 2006-07 and 2007-08, farmers who produce barley with lower protein levels will receive premiums that range from $5 per tonne for protein levels of 11 per cent and below to $1 per tonne for protein levels of 12.5 per cent.

Protein levels of 12.6 per cent and higher will still be eligible for selection and delivery under the normal CGC grades. Below is the complete premium schedule on 2006-07 malting barley deliveries, as well as a list of participants. Farmers who are interested in this program should check to ensure that their delivery points are participants.

Protein premium payments are based on protein test results of delivery samples, as verified by a third party. Payments are made within 30 days of delivery. The program is limited to two-row malting barley because its market has the most clearly defined relationship between protein levels and prices paid by end-use customers. The program is jointly administered by the CWB and participating industry partners.

Participating industry partners in the 2006-07 CWB protein payment program for two-row malting barley:

- Agricore United
- Canada Malting Co. Ltd.
- Delmar Commodities Inc.
- Fill-More Seeds Inc.
- Gambrinus Malting Corp.
- Great Northern Grain Terminals Ltd.
- Great Sandhills Terminals
- Louis Dreyfus
- Mid-Sask Terminal Ltd.
- Prairie Malt Ltd.
- Prairie West Terminal Ltd.
- Rahr Malting Canada, Inc.
- Seed-Ex Inc.
- South West Terminal Ltd.
- Westlock Terminals (NGC) Inc.

Participating industry partners in the 2007-08 CWB protein payment program for two-row malting barley:

- Agricore United
- Canada Malting Co. Ltd.
- Cargill Ltd.
- Delmar Commodities Inc.
- Fill-More Seeds Inc.
- Gambrinus Malting Corp.
- Great Northern Grain Terminals Ltd.
- Great Sandhills Terminal
- Louis Dreyfus Canada Ltd.
- North West Terminal Ltd.
- Parrish & Heimbecker Ltd.
- Paterson Grain
- Pioneer Grain Co. Ltd.
- Prairie Malt Ltd.
- Prairie West Terminal Ltd.
- RAHR Malting Canada Ltd.
- Saskatchewan Wheat Pool
- Seed-Ex Inc.
- South West Terminal Ltd.
- Westlock Terminals (NGC) Inc.
- Weyburn Inland Terminal Ltd.

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