Canada: CWB to hold plebiscite on single-desk monopoly

If the federal government won’t hold a plebiscite on the Canadian Wheat Board’s single-desk monopoly on exports of western wheat and barley, then the CWB will, the Winnipeg-based grain-marketing organization announced on June, 28.

Shortly after the Conservative majority government was elected May 2, Agriculture Minister Gerry Ritz announced the government would introduce legislation to remove the single desk from the CWB, with implementation to take effect Aug. 1, 2012.

However, the CWB’s board of directors approved a plan June 28th to allow an estimated 60,000 to 70,000 producers to vote on the future of the wheat board over the summer, with the results to be released this fall.

“Farmers have the right to be asked, the current law requires that they be asked, but the federal government plans to change the law to circumvent that requirement,” CWB chair Allen Oberg said.

The Canadian Wheat Board Act was amended in 1998 by the previous Liberal government to give farmers 10 of the 15 seats on the CWB’s board of directors, as well as require producer plebiscites if major changes were made to the CWB and the single desk.

Oberg, who farms near Forestburg, Alta., said the Harper government does not have the mandate to remove the single desk without a plebiscite.

“They say that the federal election results are a mandate from Prairie farmers to dismantle our single-desk marketing structure for wheat and barley. We disagree. A fair plebiscite will settle this question.’’

The plebiscite would ask producers who have delivered grain to the board in the last five years if they “wish to maintain the ability to market all wheat (except feed wheat sold domestically) through the CWB single desk system.” The same question is asked for barley.

“The choice is, do you want a CWB system, with all the alternatives it does offer, or do you want a completely open system? That’s what this plebiscite is about. There’s no third option,’’ Oberg said, referring to a 2007 plebiscite vote on barley marketing that offered a strong voluntary CWB as a third option.

Following the news conference, Ritz’s office issued the following statement: “Once again, the Canadian Wheat Board is failing to realize that every single farmer should have the right to choose how they market their grain,” Ritz said.

“Prairie farmers elected Conservative MPs to deliver on our promise to give Western Canadian grain farmers the freedom to decide when, where and how they market their grain ... No plebiscite must ever trump the rights of those farmers who want to choose how they market their own grain.”

One farm group blasted the CWB for holding a plebiscite, rather than preparing the organization to operate in the open market.

“Change is on the way and this plebiscite won’t likely make any difference to the timelines and end result,” said Richard Phillips, executive director of the Grain Growers of Canada, which represents about 80,000 farmers across the country.

Meanwhile, the Friends of the Canadian Wheat Board filed documents in federal court earlier this week calling for a judicial review of the government’s plans to remove the single desk without a producer vote.

“The Friends of the Canadian Wheat Board believe that Prairie farmers have a long-standing legal and legitimate expectation to be consulted via plebiscite before any amendments to the CWB Act are introduced into Parliament,’’ said Lyle Simonson, a Swift Current durum farmer and member of the pro-CWB farm group.

29 June, 2011