12 May, 2005

Canada: CWB has expanded the basis payment contract to include designated barley

The Canadian Wheat Board (CWB) has expanded the basis payment contract to include designated barley. A pilot program of 50,000 tonnes will be offered for the 2005-06 crop year, for farmers who deliver directly to a malt processing facility, Canadian Press posted on May 11.

Pricing will be based on reference grade of Standard Select two-row and six-row barley, in-store Vancouver or St. Lawrence.

Prices will be based on the Winnipeg Western Barley futures market. The program offers increased pricing flexibility by providing the ability to lock in a premium for malt barley over feed barley futures, and take advantage of market rallies that may occur within the crop year.

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