The Canadian Wheat Board will extend its pilot organic marketing program by offering organic grain growers spring contracts on a limited basis for 2008-09, starting in mid-April.
Contract availability is limited and will be determined by market opportunities, the board said in a release Friday.
The marketing program includes a cash price upon delivery and, under the new basis-pooling contract, the potential for an additional payment at the end of the crop year, the board said. The CWB will continue to offer spot contracts in 2008-09, it noted.
Under the new basis-pooling contract, producers will receive a negotiated cash price upon delivery, just as they do now, the board said. However, producers will also be eligible for a potential payment at the end of the crop year. The potential payment will be derived from any spreads between upfront cash prices paid to organic producers and actual CWB returns.
