CWB has announced the addition of two new pools to its 2012-13 line-up. The Spring Pool and the Futures Choice Spring Pool are now open to farmers on a first-come first-served basis.
“The launch of CWB’s new spring pools is timed perfectly for farmers who may still be on the fence or haven’t committed all their grain yet, especially for those who believe next year’s prices will be lower” said CWB president and CEO Ian White. “It’s also a great opportunity to clean out their bins and ensure smooth delivery through the season.”
Both pools give farmers access to CWB’s world-class sales team and expert risk management, helping to stabilize grain price fluctuations and generate returns from across markets.
“The Spring Pool lets farmers focus on seeding and growing next year’s crop, rather than watching the markets every day,” added White. “And with the Futures Choice Spring Pool, farmers can deliver early and book their own futures prices whenever they want.”
The Spring Pool is open to milling grades of Canada Western Red Spring (CWRS), Canadian Prairie Spring Red (CPSR), Canada Western Red Winter (CWRW), Canada Western Amber Durum (CWAD) and canola. Farmers have the flexibility to market through any participating grain-handling company with guaranteed delivery by July 31, 2013. The pool also offers grade flexibility, and grade and protein spreads that represent the market for the pooling period.
The Futures Choice Spring Pool is open to milling grades of CWRS, CPSR and CWRW and combines the advantages of the Spring Pool with the autonomy of cash pricing. CWB will pool the basis to minimize risk and ensure a fair grade spread, while farmers are free to lock in a July 2013 futures price any time before June 21, 2013. Target pricing is also available.
Unlike past pools that included an announced deadline date, CWB will monitor the impact of price fluctuations on pool returns and opportunities for deliveries prior to the end of the pooling period, and close the spring pools when it is deemed appropriate. Farmers can switch grades at no cost until sign-up is closed.
CWB’s first Pool Return Outlooks for the Spring Pools are available in full at www.cwb.ca/pro.
