For Immediate Release November 2, 2006

“Plebiscite to be held”
Task Force findings and recommendations on
Canadian Wheat Board released

Ottawa (November 2, 2006) -- Ed Komarnicki, MP, (Souris-Moose Mountain).

“Questions relating to marketing choice for farmers while maintaining a strong Canadian Wheat Board have sparked a lot of debate around the constituency. I expect further debate around the Minister’s plebiscite announcement and the findings of the Task Force”, said Komarnicki.

The Task Force talks about transition and change that would transform the Canadian Wheat Board to a farmer owned corporation or co-operative buying and selling various grain commodities, not only wheat and barley, but in a competitive market.

Task Force recognized that any change will of necessity be transitional and take place over time.
In the transition phase it calls for marketing choice for barley by February of 2008, followed by wheat marketing choice by July of 2008.

Changes proposed by the Task Force include:
- That the new Canadian Wheat Board would not administer cash advances;
- The Canadian Grain Commission would address access to producer railcars including access to terminals; and
- Improved shipper protection provisions in the Canada Transportation Act.

The Task Force made the following interesting comments that we should all take note of:
- consumer demands from North America and around the globe for differentiated products are driving change in the way grain is marketed;
- new uses such as biofuels and industrial usage are expanding the market for grains but at the same time have different requirements than the traditional uses of food and feed; and
- the days when millions of tonnes of wheat are marketed to State buying agencies on standard grades alone have passed.

What the Task Force has recommended is not dual marketing, where a Board with monopoly powers coexists with an open market approach, but rather marketing choice where wheat and barley farmers will be able to sell their wheat and barley to any domestic or foreign buyer of their choice, including a transformed Canadian Wheat Board. The Task Force suggests that under a proper framework and with appropriate assets a transformed Wheat Board would have a high probability of success in an environment where it would have to compete for business.

The Task Force had a number of recommendations and the full report can be reviewed on-line at: http://www.agr.gc.ca. “Many of the changes suggested by the Task Force would require legislative intervention which in a minority Parliament poses obvious difficulties”, says Komarnicki.

It seems that change is inevitable and change is coming. The world and markets have changed and many are of the view that we must adapt our marketing strategy as well, rather than being closed minded to it. Many have called, not only for input but also for a vote by producers. The Agriculture Minister has listened and has decided to put a clear question to producers with respect to marketing choice for barley. Producers will have the opportunity to express themselves in a 1st step in a transition process.

“The Task Force report should provide the basis for a good debate but in the end,” said Komarnicki “where we go on this issue will depend on where the farmers want to go and whether they believe the time for change has come.”